i have received the bill dated 05/04/2021 for freight charges which is pertaining to 2020-21.Now I want pass provision entry for the freight charges for 2020-21 with tds effect.
is the below entry is correct?
Dr.Freight charges -Rs.100/-
Cr.TDS- Rs.2/-
Cr.Expense Payable (not party)-Rs.98/-
or
Dr.Freight charges -Rs.100/-
Cr.TDS- Rs.2/-
Cr.ExpensePayable (not party)-Rs.100/-
Dr.Party A/c -Rs. 2/-
please clarify which is correct entry with reason for the correct entry.
Menu
Year end provision entry
Replies (3)
Quick Summary
Since you have the bill and know the party , you can credit 98 to party and 2 to TDs payable
Bill date is Apr 5 financial year 21-22 right. How can I credit party account
Though bill date is April 5, you say expenses all pertain to year 20-21.
or else you can credit expenses payable 98 in 20-21 and reverse it to party account in 21 -22, but the TDs credit you have to give in 20-21.
so in my opinion my first option is better unless you have a software problem in accepting bill dated april 5.
or else you can credit expenses payable 98 in 20-21 and reverse it to party account in 21 -22, but the TDs credit you have to give in 20-21.
so in my opinion my first option is better unless you have a software problem in accepting bill dated april 5.
Recent Topics :
- Self assessment tax paid not reflected in ITR2 fil
- Tax on nps corpus
- Tired converting GSTR-1, 2B & 3B to Clean Exce
- TDS on under construction property not deducted
- GST on Fixed Assets
- GST ITC april 22
- GST PAYMENT REGARDING
- GST Consultation Required – June–Augus
- TDS Code for Salary Payment to Non-Resident Intern
- TDS on property
Related Topics :
CAclubindia
