Late tds or not????

Yes, this is a case of late Tax deduction.

Regards,

AGREEE WITH ABOVE

TDS SHOULD BE DEDUCTED CREDIT OR PAYMENAT WHICHER IS EARLIER

Sir

This is late deduction of 5 days bt is it have material effect ????

pLease reply

Nishant, as per the tds rules the tds should deduct the same day as the payment was CREDITED or PAID  whichever is EARLIER. And tds should be deposited in the bank within 7th day of the next month from the last day of which the transaction is made.

So in your query transaction date is 05.05.2011, then the tds due date is 07.06.2011, (so deductor should not wait untill the make the PAMENT to the PARTY.

Regards

No Nishant no TDS liability of non deduction of TDS but just booking before 5 days as due date of TDS deposit is coming on same day of next month.