TDS on Monthly Provisions for Third Party Payment for Factory Worker Salaries

This discussion clarifies the timing of TDS (Tax Deducted at Source) deduction when making monthly provisions for factory worker salaries paid through a consultant. The consensus is that TDS should be deducted at the earliest of the two events: making the provision or booking the bill. If a provision is made in one month and the bill is received and booked in the following month, TDS must be deducted in the month the provision was made.