TDS RECEIVABLES

TDS receivables have to be shown in the balance sheet  in the asset side until the Income Tax assessment is finally complete.TDS receivables for different years have to be shown seperately in Balance Sheet for different years.it has to be finally adjusted with the actual income tax liability once the assessment is complete.It has to refelect in the Balance Sheet in the asset side. It can't be shown in the P & L A/C.

If i'm wrong somewhere do let me know.

As far as i know it can be recorded only in balance sheet..aseet side...under the heads current assets. rest my friends view is gr8..!~

Dear All,

    I would just like to clarrify on the above statements :

    (a) Service Provided.

     Customer A/c Dr.   90000

      TDS Receivable Dr. 10000

              To Sale (Services)  100000

    (b) On Receipt of Payment

     Bank   90000

     To Customer  90000

IT MUST BE SHOWIN ON THE ASSETS SIDE OF THE BALANCE SHEET UNDER THE HEAD CURRENT ASSETS

TDS Receivable should be shown under Loan & Advances Head in Balance Sheet assessment year wise until assessment procedure does not completed along with advance tax and it should be nillified after the assessment.

it should not be shown in P & L A/c

that amount is assets of a co until receipt, after that it will be adjusted with receipt. If there are any loss amount which was not recovered from IT dept then it should be reflected in P/L A/c as expenditure in respective years of receipt

>>Rajesh

can tds refundable be adjusted against payable??

but what is grouping?

But of how many years TDS Receivable can be shown in the books as an asset.If  TDS Receivable of 20 we have in the books in the previous year.And the assessment has not been done for all the 20 years.Then we should maintain all those 20 years TDS Receivable in the books separately aa in the current year also. ??

No it cannot be adjusted.TDS Receivable can be adjusted only against Tax Liability of that particular year.If no tax liability exists in that particular year then we will get refund of the amount of TDS Receivable.

Thanks for the clarification. can tds receivable also be a non current liability. Or always classified under current liability?