TaxTMI 
TaxTMI 
We have opted for composite scheme under MVAT(Maharashtra). We have accounted certain Invoices raised on client in the year 2010-11, the said amount is received in the year 2011-12 after deducting TDS on WCT. Please let me know in which year we should account for TDS on WCT corresponding to the said invoice regards, Mukund M Honkan
TDS On WCT
27 Feb 2012 
2 Replies 
6091 Views Asked by
TDS on WCT should be accounted in the year of the underlying invoices for accounting purposes; VAT return timing unclear.
The issue is whether TDS on WCT deducted at payment received in a later year should be accounted in the earlier year when invoices were raised under the composite MVAT scheme. The respondent advised that, for accounting purposes, the TDS should be recognised in the earlier year of the invoices; the taxpayer then queried the correct year for reporting the TDS in the VAT return, which remained unresolved in the discussion. (AI Summary)
The issue is whether TDS on WCT deducted at payment received in a later year should be accounted in the earlier year when invoices were raised under the composite MVAT scheme. The respondent advised that, for accounting purposes, the TDS should be recognised in the earlier year of the invoices; the taxpayer then queried the correct year for reporting the TDS in the VAT return, which remained unresolved in the discussion. (AI Summary)