To make a TDS (Tax Deducted at Source) entry in accountancy, you would typically follow these steps:
Create a ledger account for TDS under the head of duties and taxes.
Enter the transaction in the journal voucher with the appropriate debit and credit accounts.
To Visit: https://www.incometax.gov.in
For example, if the TDS deducted is Rs. 1,000, the journal entry would be:
TDS Account Dr. Rs. 1,000
To Party Account Rs. 1,000
Record the TDS deducted in the respective ledger account. For example, if the TDS was deducted on rent paid, record it in the rent ledger account under the TDS column.
Prepare a TDS challan and pay the TDS amount to the government within the due date.
File TDS returns on a quarterly basis to the income tax department.
It’s important to note that TDS entries may vary based on the type of transaction and the applicable tax laws in your country. It’s recommended to consult with a professional accountant or tax advisor for accurate and compliant accounting practices.
For further details visit: https://vibrantfinserv.com/service-detail-10.php