31 March 2009
X is a private limited compnay , it's corpoate office is outside inida . The corporate office paid some expenses directly to the vendors and TDS is neither collected nor paid by the corporate office or by X . The whole expenditure got disallowance in Tax Audit in the previous financial year . What are the options available with X to get the expenditure as admissible in this financial year . As the full amount is paid to vendors, there is no question of collection of TDS amount from the vendors and is not practically possible.
31 March 2009
If you are unable to collect the tds from the parties then you have to bear.
Here you have to calculate the what is the tax implication on disallowance alongwith interest and compare with TDS payable alongwith interest . If you are gaining much then pay the tds with interest and get deduction this year.
However you can send a letter to your supplier by registered post to recover the tds payments and you have to get the money amicably.
31 March 2009
YES CA. B.SRINIVASULU is right. You can deduct TDS now but you need to prove that the payment made earlier was after deduction of TDS and the calculation would be like( Amt paid earlier/100-tds rate*100) it will give you gross amount paid.
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