for fy 2011-12 depodit 50000/- and get interest on it 6000/- and tds deduct rs500/-
qurstion is what is the entry for interest recd and add in fd and there after tds deucuct
for fy 2011-12 depodit 50000/- and get interest on it 6000/- and tds deduct rs500/-
qurstion is what is the entry for interest recd and add in fd and there after tds deucuct
When FD Opened with bank pass entry:
FD A/c Dr. 50000
To Bank A/c 50000
When Interest Received pass entry:
Bank A/c Dr. 5500
TDS Receivable Dr. 500
To Interest Received on FD A/c 6000
Entry for interest on FD and TDS
FD A/c Dr. 5500
TDS Credit A/c Dr. 500
To Interest Received on FD A/c 6000
| Originally posted by : CA BARKHA MITTAL | ||
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When FD Opened with bank pass entry: FD A/c Dr. 50000 To Bank A/c 50000 When Interest Received pass entry: Bank A/c Dr. 5500 TDS Receivable Dr. 500 To Interest Received on FD A/c 6000 |
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totally agreed with this answer..
Jishnu Surendan is correct, when Interest gets added to FD. Since it is not credited to your bank a/c.
No offence to the professionals, but interest on FD will never be credited to your bank account, otherwise instructed. For instance, the maturity value of a 5 year Rs. 5,00,000 FD will be Rs. 5,00,000 plus the interest compounded annually or semi - annually.
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
CA Final
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