TDS will be deducted on the basis of the deductee type, which has to be defined in the party ledger.
1. Go to Gateway of Tally > Accounts Info. > Ledgers > Create
2. Press F12 and set the option Allow advanced entries in TDS masters to Yes .
3. Enter the Name and select Sundry Creditor in the Under field.
4. Enable the option Maintain bill-by-bill , to track the TDS bills.
5. Enable the option Is TDS Deductible , to allow TDS deduction for the ledger.
6. Select a Deductee Type from the list.
7. Enable Deduct TDS in Same Voucher , if required, and select the TDS Nature of Payment. You can also select to All Items .
8. Set Use Advanced TDS Entries to Yes .
● You can set the ledger to ignore income tax and/or surcharge exemption limits.
● Enable the option Set/Alter Zero/Lower Deduction to Yes .
● If the Deductee type is a Resident , you can set the required Nature of Payment for Zero/Lower Rate , as shown below:
Based on the selection made, the transactions recorded using these ledgers will appear in the relevant sections of Form 26Q .
● If the Deductee type is a Non-Resident , you can set the required Nature of Payment for Zero/Lower Rate/DTAA , as shown below:
Based on the selection made, the transactions recorded using these ledgers will appear in the relevant sections of Form 27Q .
9. Enter the Mailing Details . Enable Provide Bank Details , to enter the bank details for the ledger.
10. Enter the PAN/IT No. under Tax Information .
11. Enable the option Provide PAN Details , if required.
The Ledger Creation screen appears as shown below:
12. Press Enter to save the details.
'Party Ledger (TDS)' has been shared with