Dear all
Rule for TDS is on credit or payment whichever is earlier, right? i have following doubts please clear!
1) suppose i credited the amount in books on dated 1st of april and make the payment entry on 2nd May then my TDS liability would be on????
2) suppose i credited the amount in books on dated 1st of april but now no need to pay any amount to the party due to some reasons then TDS liability arises or not? as i have already credited the amount in books
3) if no, then should i reverse the entry in books?
Thanks in adavance!
CAclubindia
