tds

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

16 February 2010 Respected experts,

I want to know which is the proper method of deducting TDS (income tax ), as per bill date or as per month? suppose my invoice is for date date of oct 09, but labour charges duduct for the month Sep 09.so i should go billwise or month wise pls clarify this matter. waiting for ur reply
Thanks & Best Regards

Aparna Sutar (STP)

Prasad R

Prasad R (Expert)
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16 February 2010 TDS to be deducted on payment or credit which ever is earlier.

If ur passing the entries in the month of september crediting the pary account then TDS is to be deducted on sept.The bill month even though oct won't matter.
The criteria is payment or credit as per TDS sections.

Regards
Prasad R