TDS transactions in Tally
Now a days many companies pay TDS every month. You can simply complete TDS Transactions in Tally. I hereby explain how to enter TDS transaction in tally and how to get Montly TDS Payable amount. Follow the following simple Steps.
There are mainly 3 steps to complete TDS Transaction in Tally.
STEP1: Create Supplier/Service Provider Ledger, TDS Section Ledger & Expenditure Ledger.
STEP2: Enter Invoice/Bill entry in Journal Voucher.
STEP3: Get Total TDS Payable Amount for the particular month.
Eg: If you get Bill from M/s.Indian shipping services an amount of Rs.30,000/- for C&F Charges.
In the above bill, you must deduct 2% TDS (Rs.600), and you will pay remaining bill amount (Rs.29,400) to M/s.Indian shipping services. In the end of the month you will be pay the TDS amount (Rs.600) to Income Tax Dept.
Create the following Ledgers.
- Indian shipping services ( Under Group "Sundry Creditors")
- TDS Payable 94 C ( Under Group " Current Liabilities")
- C and F Charges ( Under Group " Indirect Expenses" )
Enter Journal Voucher as follows:
(Dr) C and F Charges 30,000
(Cr) TDS Payable 94C 600
(Cr) Indian shipping services 29,400
-> Gateway of Tally
-> Accounting Vouchers (Shortcut Key "V or v")
-> Select Journal from Left Side Panel (Shortcut Key "F7")
-> Enter Invoice/Bill Date (Shortcut Key "F2")
-> Dr C and F Charges
-> Enter total Invoice/Bill Amount ("Rs.30,000")
-> Cr TDS Payable 94C
-> Enter 2% TDS Amount on Invoice/Bill Amount ("Rs.600")
-> Cr Indian shipping services
-> Enter Remaining credit amount, which was paid to your supplier/Service provider. ("Rs.29,400")
-> Write Narration, then press Enter.
In the month ending just see the TDS Payable 94C ledger account for particular month. And pay the total TDS Payable amount to Income Tax Dept. (Last date of TDS Payment: 7th)
-> Gateway of Tally
-> Display (Shortcut Key "D or d")
-> Accounts Books (Shortcut Key "A or a")
-> Ledgers (Shortcut Key "L or l")
-> Select Ledger "TDS Payable 94C"
> Press Alt + F2 for Change Period (Enter Particular month)
Now you can see total TDS Payable amount for the particular month and particular TDS Section.
Payment entry: After paid TDS Amount to Income Tax Dept, enter Payment entry.
(Dr) TDS Payable 94C 600
(Cr) ICICI C.C.A/c 600.
If you have not pay the TDS amount to Income tax Detp, the TDS Payable ledger shows credit balance. this is liability for the company.
In the same way create all TDS ledger accounts based on your TDS deducted sections.