Tax credit

TDS / TCS 536 views 2 replies

ARVIND TEWARI

PARTNER

36 Points Posted on 29 August 2009

Bill was raised to the client in march 2009,

Income is accounted for in the year 2008-09

Payment made by client in april 2009,

T.D.S. Certificate issued by client mentioning period 09-10 since they accounted for in 2009-10.

As income has been accounted for in the year 2008-09 but TDS certificate issued mentions 2009-10. Is tax credit for TDS above available, if so in which F.Y.

Replies (2)

Sorabh Gupta

Manager ( Taxation )

877 Points Posted on 29 August 2009

Mr Arvind

First of all, your client have to book that bill in the mont of march itself, otherwise this expense wiil be disallowed to him . Ans as per ur remarks he has done so then his expenses will be disallowed. But in that case u have no option you can claim TDS only in the fianacial yaer 2009-10.

Hope ur doubts has been cleared..............

llllVICTORllll

Internal Auditor

511 Points Posted on 29 August 2009

I didnt understand what the confusion of billing is concerned, but for the TDS part.. TDS is deducted when the payment is made and not when the bill is accounted, so as ffar i think, as payment is made in april 09, it will be paid to the bank only in may 09, and will be added to the return only for the P.Y 2009-10, so it is available only for the A.Y 10-11, so TDS certificate should be for the P.Y 2009-10, or A.Y 2010-2011, (yaar this A.Y P.Y things are so confusing, good thing that it is getting rid from 2011).. hope i was clear about what i meant... chao