Tds applicability against bills payable

[Guest]

sir Is TDS to be deducted against bills payable on due basis or after payment of total consideration padmanabhan.n

[Ravi Chopra]

Generally TDS is to be deducted when amount is paid or amount is credited to the books of account (bill is entered in books of account) which ever is earlier. Although, TDS on salary is payable on payment basis.

AI Summary

TDS applicability: deduct at payment or when amount is credited to books; salary TDS follows payment basis. TDS on bills payable arises at the earlier of payment or when the amount is credited to the recipient's books of account (bill entered in books); by contrast, TDS on salary is payable on the payment basis only.