Non deduction of tds

This query is : Resolved

CA Abhishek Pal (Querist)
Follow

12 March 2014 Experts please help me out...
Actually we are a construction company and the audit of F.Y. 2012-13 has been done.

And we paid lots of commission to parties to our but we duduct TDS on year end 31st March 2013 and it is also wrong deduct.

Suppose we make payment to our Commission Agent amounted Rs. 50 lacs on F.Y. 2012-13. Then we didnt deduct tds on time of payment. But deduct tds separetly as 10% of Rs 50 Lacs(5,00,000/-)at year end by making journal entry and make payment of TDS on 31st March along with interest on late payment only. But i think correct TDS deduction should be 5000000/.9 X 10% (Rs.5555555.55 x 10%) i.e. Rs.555555.55...Please advice me how should i correct this matter by filing of REvised Return, bcz if i Revised then my Commission Expense will also change.

Rupesh Jain

Rupesh Jain (Expert)
Follow

25 March 2014 you have to deducted tds above rs. 5000/- commission for any entry .

@ 10% tds to be deducted on payment or credit the a/c of person whichever is earlier.

tds deducted on Rs. 50 lacs will be Rs. 5 lacs not the 555555.55

Message likes : 1 times

CA Abhishek Pal

CA Abhishek Pal (Querist)
Follow

27 March 2014 Thanks for Reply...but sir we have already made payment of Rs 50 lacs to party without deducting TDS..and now we deposit tds of Rs 500000/- on behalf of him. But sir now total commission expenses should be (Rs 50,00,000 +Rs 5,00,000/- ) Rs 55lacs..whether i am correct please clarify me