How To Record TDS Transaction In TallyPrime | Enable TDS In Tally

Tax Deducted at Source (TDS) is one of the modes of collecting income tax. The buyer (Deductor) deducts the tax from the payment made to the seller (Deductee) and remits the tax to the Income Tax Department within the stipulated time.

The buyers (Corporate and Non-Corporate) make payment (such as Salary, Rent, interest on securities, Dividends, Insurance Commission, Professional Fees, Commission on Brokerage, Commission on Lottery Tickets, etc) to the sellers (Services) and deduct the requisite amount form such payments towards tax.

The buyer files the TDS returns containing details of the seller and the bank, where the TDS amount is deposited to the Income Tax Department (TDS). 

In this post you will learn about to "how to record tds transaction in tally prime step by step guide.


TDS In TallyPrime

TDS (Tax Dedicated at Source) in Tally provides and easy-to-use and flexible interface. It helps you to handle intricate cases and calculate the tax payable to the Income Tax Department.

Tally calculates the tax of all parties/suppliers where TDS deduction is mandatory. It calculates the TDS automatically and prints Form16A certificates, Forms 26Q, 26, 27 and 27A (Cover Note) for Quarterly / Annual Returns as per statutory requirement
It allows the user to view and print various TDS reports, Challans and TDS Outstanding statements.
 

Step 1 Create Company


Step 2 Enable TDS In Tally Prime By Press F11 Key

After Create Company You Have To Enable TDS Feature In Tally Prime For Record TDS Transactions. Press F11  Key For Enable TDS In Tally Prime. As You Tap Yes Then You Have To Fill TDS Details.


Step 3 Record TDS Details And Responsible Personal Name

As You Press Yes - On Enable Tax Deducted At Source (TDS), Here Fill These Details Like This 


Note : Set / Alter Details Of Person Responsible 


Fill Details Like This 


 TDS Ledgers And Nature Of Payment

Nature Of Payment

Expenses

Section

Threshold Limit

Rate Of Tax

Fee For Professional Service

Audit Fee

194K

30,000

7.5%

Monthly Salary

Salary

192L

600000 Year

10%

Step 4.1 Nature Of Payment Creation Fee For Professional Services

Gateway Of Tally >> Create >> TDS Nature Of Payment >> Create


Step 4.2 Press F12 For Configuration

Press F12 For Configuration Setup 



Step 4.3 Nature Of Payment Creation Monthly Salary

Gateway Of Tally >> Create >> TDS Nature Of Payment >> Create



Step 5.1 Ledger Creation Audit Fee

Gateway Of Tally >> Create >> Ledger

Now We Have Required Ledgers For TDS Record Create 



Step 5.2 Ledger Creation Create Salary A/c

Gateway Of Tally >> Create >> Ledger



Step 5.3 Ledger Creation Create TDS On Audit Fee

Gateway Of Tally >> Create >> Ledger



Step 5.4 Ledger Creation Create TDS On Salary

Gateway Of Tally >> Create >> Ledger




Step 5.5 Sundry Creditor Ledger Creation TATA PVT LTD

Gateway Of Tally >> Create >> Ledger >> Create



Step 5.6 Sundry Creditor Ledger Creation Ankit Mishra

Gateway Of Tally >> Create >> Ledger >> Create


 Step 6.1 Pass Journal Voucher 

Gateway Of Tally >> Vouchers >> Journal Voucher



Step 6.2 Pass Journal Voucher

Gateway Of Tally >> Vouchers >> Journal Voucher



7 Go to Balance Sheet

Gateway Of Tally >> Balance Sheet >> Current Liability
Click On Current Liabilities


Press Alt + F1  For Details View 



Step 8.1 Pass Payment Voucher

Gateway Of Tally >> Vouchers >> Payment Voucher


Set Adjustment 


Step 8.2 Pass Payment Vouchers

Gateway Of Tally >> Vouchers >> Payment Voucher


Set Adjustment 



Step 9 Go to Balance Sheet

Gateway Of Tally >> Balance Sheet >> Current Liability Click On Current Liabilities



Now Your TDS Paid