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Tds on salaries

CMA Swati Agarwal (Manager- F&A) (371 Points)

01 May 2017

Dear Sir, TDS on salaries has to be deducted on salry receipt basis, or on accrual basis? For eg. The salary for the month of Feb is due on 28th Feb and the same has been also booked in the books of accounts on the same date. But actual payment of salary is made in the month of May. So what should be the due date for TDS deposit? Kindly help in the matter

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13 Replies

(Guest)

tds deposit before 7th june

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Anil Talukder (86 Points)
Replied 01 May 2017

Due date is 7th june

himanshu gumber (45 Points)
Replied 02 May 2017

accural or Receipt whichever is earlier

Akash kumar (Accountant) (23 Points)
Replied 02 May 2017

Tds on salary on payment basis

CA sachin chaurasiya (Accounts & Finnance) (32 Points)
Replied 02 May 2017

As per sec 192 of income tax act 1961,TDS on salary is to be deducted on payment basis,not on accrual basis.hence TDS must be deposited in june if the payment is made in MAY.Hope doubt is cleared.

2 Like

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Seku Madhu (Accounts Officer) (34 Points)
Replied 02 May 2017

VAT Payable can it be shown in Balance Sheet

CA sachin chaurasiya (Accounts & Finnance) (32 Points)
Replied 02 May 2017

YES, VAT payable can be shown in balance sheet under head "OTHER CURRENT LIABILITIES

1 Like

CA Gayathri Sankaran (CA) (62 Points)
Replied 03 May 2017

tds on salary is always on payment... tds liability entry is passed in books along with the salary payment entry and tds is remitted on the subsequent due date.

(Guest)

TDS always deducted at the time of payment of salary.
and deposited by 7th of next month.

Seku Madhu (Accounts Officer) (34 Points)
Replied 09 May 2017

Thank you

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CMA Swati Agarwal (Manager- F&A) (371 Points)
Replied 10 May 2017

Originally posted by : CA sachin chaurasiya
	As per sec 192 of income tax act 1961,TDS on salary is to be deducted on payment basis,not on accrual basis.hence TDS must be deposited in june if the payment is made in MAY.Hope doubt is cleared.

Sir,

The Company has posted Salaries in their books after deducting TDS on 31.03.2017. Thus the amounts stands as Salaries Payable. Neither the salalries not TDS has been paid out . The due date of filing of TDS return is May 15, so how to file the same for quarter ended March 31.

DHARANI (Professional) (73 Points)
Replied 10 May 2017

remember hijac h for commission I for rent and so on.In dese cases payment or credit whichever is earlier and In case tds on salary is not covered in hijac so on payment basis