Learner
4016 Points
Joined December 2009
Section 43 B applies on the expenses whereas Tax collection at source is not an expense... It is just an additional amount which you collect from your Debtor and deposit it with the Govt..
eg:- Journal Entries
a) At the time of collection
(1) Bank a/c............. Dr
To Debtor A/c
(2) Debtor A/c............. Dr
To TCS Payable
b) AT THE TIME OF DEPOSIT
TCS Payable a/c............Dr
To Bank A/c
In short 43 B applies only in case of deduction of an expenditure whereas in case of TCS "NO EXPENSE OR DEDUCTION IS INVOLVED"