Journal entry - tds


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Querist : Anonymous

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Querist : Anonymous (Querist)
20 August 2012 If company has TDS receivable of Rs. 100,000/- and income tax return is filed and refund is claimed of Rs. 20,000/- after using credit of Rs. 100,000.00 of TDS receivable. What would be journal entry in the books of accounts




20 August 2012 No entry will be passed till the time you get the refund. TDS receivale will be shown under current assets.


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Querist : Anonymous

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Querist : Anonymous (Querist)
20 August 2012 If refund is received then what will be entry

20 August 2012 Bank A/c Dr.
Provision for income tax A.Y(..) Dr
Short provision of income tax Dr
To TDS receivable A/c
TO Excess provision of income tax
To Interest on income tax refund

Note:- short or exces depends on the the differnce if any.


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