03 May 2013
Our CA(DKP & Assts.) raised a bill for Legal & Professional Services provided by him during the year 2012-2013 on 31.03.2013. Now which entry shall I pass: Legal & Professional Charges A/c DR To TDS(Professional)A/C CR To DKP & Assts A/C CR
or
Legal & Professional Charges A/C DR To TDS(Professional)A/C CR TO Legal & Professional Chrges payable A/C CR
04 May 2013
Both methods r correct. However, maintaining partywise payable is always a better option particularly in case of multiple prof services used like for audit, for vat, for ser tax. If u maintain single legal & prog fees payable a/c for multiple professionals then u'll not get a/c balance of particular party & a/c becomes hotchpotch.
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