income tax refund receive in perticular year...is it income in so an so year???
or we can adjust to tds account?
if yes than what about balance amount left in tds account? ?( tds-54000 & refund - 46000)
what to do in this case....
Do you have a provision for income tax in your books of accounts amounting to Rs.8,000?
If yes, then when income tax refund is received, you have to pass the following entry:
Provision for income Tax A/c Dr. 8,000
Bank A/c Dr. (Refund amount) 46,000
To TDS A/c 54,000
To Advance Tax paid A/c 0
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