Journal entries in books of client
Pradeep Habib (21 Points)
23 December 2019
when TDS deducted under section 194N on cash withdrawals exceed 1crore. what should be journal entries?
Pradeep Habib (21 Points)
23 December 2019
prasad Nilugal
( GST Practitioner & Accounts )
(14242 Points)
Replied 23 December 2019
If withdrawal in the F.Y exceeds 10000000/- Tds @ 2% will deducted as per section 194N of the income tax act 1961 .
J.E will be
1) Cash A/c Dr
TDS on withdrawal A/c Dr
To Bank A/c Cr
( Being cash withdraw form Bank ,TDS @ 2% )
TDS on withdrawal will be under the Loans & Advance ( other non current asset ) ,Asset side ,Balance sheet
CAclubindia
