Reena (Partner) (221 Points)
19 April 2021If we pay an invoice dates 30th March 2021 on 20th April 2021, should we deposit and sho the TDS in April 2021? Would that affect the other person's income in their ITR as the income will be shown in the next financial year? In GST return, it would be shown in the previous year.
How should we pay the amount?
CA. Sourav Sarkar
(Chartered Accountant )
(24578 Points)
Replied 19 April 2021
CMA Poornima Madhava
(CMA)
(13097 Points)
Replied 19 April 2021
Deepshikha Sharma
(Tax Manager)
(137 Points)
Replied 21 April 2021
Your payment in April would not impact your party's income as the invoice is of March'21 so it will be considered as income of March'21. For both GST and TDS, it will be the income of March'21.
Also TDS is applicable in payment or booking of invoice, whichever is earlier. So TDS should've been booked along with the invoice in March'21 and should be deposited till 30th April (due date for payment of ar'21 TDS).
Manjula
(Accountant )
(119 Points)
Replied 21 April 2021
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