TDS Computation Summary

TDS Computation Summary rolls the withholding detail up to one row per supplier for the period: total amount paid or billed, the taxable amount after thresholds, the rate applied and the tax deducted. It is the figure you need when depositing TDS to IRD and when filing the monthly withholding return, where each deductee is reported once. Thresholds matter: contract payments are only withheld above Rs 50,000 per invoice, so a Rs 40,000 bill shows zero while a Rs 1,00,000 contract payment at 1.5 percent shows Rs 1,500 deducted. Because it reads the same Purchase Invoices as Tax Withholding Details, the two reports must agree in total. A supplier appearing with no PAN must be corrected before filing.

Per supplier: Tax deducted = Sum of withheld amounts in the period; effective rate = Tax deducted / Taxable amount x 100

1. 01Go to Financial Reports > TDS Computation Summary.
2. 02Set Company, From Date and To Date for the month; optionally Party Type and Party.
3. 03Read Supplier, PAN, Total Amount, Taxable Amount, Rate and Tax Deducted per row.
4. 04Confirm the Tax Deducted total equals the TDS Payable credits for the month.
5. 05Deposit the total to IRD with Payments > Payment Entry, Payment Type Pay, against TDS Payable.
6. 06File the withholding return by the 25th of the following month using the per supplier figures.

Open when depositing TDS to IRD to get one figure per supplier.

A Rs 1,00,000 contract payment at 1.5 percent shows Rs 1,500 deducted; a Rs 40,000 bill is under the Rs 50,000 threshold.