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Adding Tax Deduction

Tax Deducted at Source (TDS) is a statutory tax deducted from a payment by the payer before making the payment to the payee, as per applicable tax regulations. It helps ensure timely tax collection and compliance with government tax laws.

To add a TDS for a particular account, follow these steps:

  1. Navigate to Accounts > Accounts Management. The following screen appears: Account management
  2. Click the Edit icon (highlighted in red) and navigate to the Tax Deductions tab. The following screen appears: TDS Tab Screen
  3. Click the Add Tax Deduction button. The following screen appears: TDS Form
  4. Provide the following details:
    • Proforma Invoice or Invoice
    • Posting Date
    • Tax Account ID
    • Certificate No.
    • Financial year
    • Quarter
    • TDS under income tax act
    • TDS under GST
  5. Click the Submit button.