Tax implications

Hi,

I have a proprietorship firm. I raised an invoice on my client in the month of March 16, payment for which was made by the client net of tax in April 16. The form 26 will not reflect this Tax so how do I account for this income when filing the returns. How will it impact the returns for the current year 16-17 where the Tax deducted will reflect in the form 26AS.

Kindly help.

Thanks,

Vimal

Replies (3)

Invoice raised in march will be considered in as sales in that financial year (april-march)
TDS was deducted in April and TDS is not reflected in Form 26AS
when quarterly return will file then TDS will reflect in form 26AS
last date of filing TDS return for first quarter is 31/07/2016, please wait.

My query is how do I account for the Invoice raised in march where payment is received in April when filing IT returns for last year. The tax deducted will reflect in the current year

March

Sundry Debtor      Dr.    xxxxx

To Sales                     xxxxxx

In next year

TDS receivable a/c Dr.          xxxxx

Bank/Cash     a/c  Dr.          xxxxx

To  Sundry Debtor                          XXXXX

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