Lower Deduction of TDS in Tally | How to manage

Posted on August 4, 2010 by Mahendra • 13 Comments

TDS is in tally.erp 9 is the biggest helping hand for me as it help me to avoid manual work relating to TDS compliance. Since entire system in tally.erp 9 relating to TDS is automated all you need is to make some one time set up for enable TDS in tally.erp 9 and then just concentrate your attention only towards making entries. Your tally.erp 9 will take care of TDS calculation, TDS return, Form no. 16a and every aspect relating to TDS including automated payment challan for TDS. If you are not aware of TDS features in tally then you should referTDS help file for further reference

One more interesting feature available in tally.erp 9 is to manage lower deduction TDS rates for certain suppliers

By virtue of Section 197/197A an assesses can get a certificate of lower deduction from the ITO.

Such certificate will include your TAN number, Assesses PAN Number, Period of applicability, approx. billing amount to you during the period and the % of TDS by which you should deduct TDS on the same.

Let’s assume one of your supplier presents you such a certificate of lower deduction of tds at a rate of 6%, then you must deduct the same as per the certificate produced to you.

Let’s learn how to manage the same in tally.erp 9. Once you make the settings as per below then whenever you book the invoice of such supplier then TDS will be calculated and deducted from the bill automatically at the rates specified as per the lower Deduction certificate

Go to related supplier’s ledger who produced you the lower deduction certification

Set yes to Is tds applicable ?

Then set advance entries in tds through F12 configuration

select deductee type from the list

use advanced tds entries set to yes

You will find a pop up as per below

then go to alter Zero/lowder deduction to yes

you will find below screen

here select the Nature of payment applicable from the pop up window list

set section number (it will be shown in the lower deduction certificate

mention necessary details

If you have any query, then please post it on support forum only.

Mahendra (192 Posts)

Mahendra is founder and CEO of the I Vision Infotech, Authorised Tally Sales and Service Partner and helping Tally users to learn Tally and accounting free through this site

bikash

sir,
when i enter payment voucher usd but i need to convert euro or other currency how to do?

share flag

spam
offensive
disagree
off topic

bala

sir,
when i enter payment voucher usd but i need to convert euro or other currency how to do

Pavan

plz give me tds exp. for tds deducted on salary and contrater with all extry in tally erp. plz explain me all thing.

Mahendra

Pavan,
I had asked your Tally serial number, still instead of responding, you are raising your query again.
Plz note that without mentioning your Tally.erp 9 serial number, you won't be able to get support/response from us.

manmohan mallick

plz i am new teacher in erp9 plz advice how to enter tds transaction in tally.erp9 with example

SUNIL

Thank you sir

the TDS was briefly explained you and i am learned TDS from you and iam implimented TDS in tally i got it sir

Sunil,
Glad to see your feedback and the post help you to understand implementation of TDS in Tally.erp.

rohini

dear sir
how will you enable the following option?
- vat in tally
- payroll
- budgets & controls
- current assets
- cr/dr instead of to/by

thank you sir

Syed

Hi Mahendra,

I am facing a problem in Tally regarding TDS deduction. Earlier I had set "Deduct TDS in same voucher" to yes, but now for some ledgers I want to deduct TDS separately. When I want to set it to "NO', it is not happening. The option to deduct TDS or not during voucher entry is also getting skipped, so I cant make a choice even during voucher entry. Please provide some solution.

VENKATESH

Dear Sir,

I am invoicing in USD. I am facing a peculiar problem in Tally. When I invoice in USD on a given date the foreign exchange rate is say INR 45.00 for each USD. I receive the amount from by customer after the credit period then the exchange rate would be say INR45.50 for each USD.
Hence as per me when I invoice the value of the invoice in USD and INR would be reflected and when I receive the amount and bank receipt entry is passed the difference gain or loss in foreign exchange should be reflected.

But it is not happening, when I invoice there is a exchange gain or loss being displayed considering the last exchange rate taken for invoicing.

What is the exact nature of the problem ? How can it be resolved ?

Thanks & regards,
Venkatesh R

Dear Venktesh,
You need to enable multi currency.
Have to set up multi currency, create USD currency. read my articles under category of multi currency. There is everything to solve your problem

Sir,
What you say is ok but does it solve the problem of difference in foreign exchange rates during the first time when i invoice to the customer

Thanks & regards,
Venkatesh

Venktesh,
Better if you can send me the screen shot of your problem or what you exactly want, then definately, I can help you