Suppose you have to make advance payment of 50000 You will deduct 10% tds and actually make payment of 45000 You will pass the entry Party Dr 50000 To Bank 45000 To TDS 5000 Later,when you r

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Payment in advance, then Bill ReceivedParty Dr 50000 To Bank 45000 To TDS 5000Expense Dr 50000 To Party 50000Can u elaborate this entry

Uma Shankar

Suppose you have to make advance payment of 50000

You will deduct 10% tds and actually make payment of 45000

You will pass the entry

Party Dr 50000

To Bank 45000

To TDS 5000

Later,when you receive bill of 50000,you will not again deduct tds as tds already deducted

You will now pass the entry

Expense Dr 50000

To Party 50000

Written on Dec. 28, 2016, 3:15 p.m.

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