How to: Post Tax Deducted at Source
Microsoft Dynamics NAV allows you to post Tax Deducted at Source (TDS) using:
General journals
Purchase orders or purchase invoices
Payment journals
TDS is deducted on certain financial transactions involving vendors, one-time parties, and customers.
The TDS is calculated using information that is defined in the corresponding journals. The TDS calculation for the posted transaction can be viewed in the TDS entry table.
The TDS Adjustment Journal window is used to correct the TDS amounts that have been deducted, but not paid to the government. The Update the TDS Register window is used to track all the TDS payments that are paid to the government, including relevant challan details.
For more information about how to pay TDS using payment journals, see How to: Pay Tax Using Payment Journals.
The following procedure describes how to post TDS using general journals, but the same steps also apply to posting TCS using general journals.
To post tax deducted at source using general journals
In the Search box, enter General Journals, and then choose the related link.
Fill in the required fields as described in the following table.
Field Description Batch Name
The journal batch name.
Posting Date
The date on which the entry will be posted.
Document Type
Specify Invoice to indicate the document type.
External Document No.
The document number for the vendor.
Party Type
The type of the party involved.
Part Code
The number for the relevant party type.
TDS Nature of Deduction
The TDS nature of deduction.
Amount
The total amount of the journal line that includes the VAT amount.
T.A.N. No.
The tax account number for the TDS deduction.
Bal. Account No.
The bank account number to which the balancing entry for the journal line will be posted.
On the Actions tab, in the Posting group, choose Post.
The following procedure describes how to post TDS using purchase orders, but the same steps also apply to posting TDS using purchase invoices.
To post tax deducted at source using purchase orders
In the Search box, enter Purchase Orders, and then choose the related link.
On the Home tab, choose New.
On the General FastTab, fill in the required fields as described in the following table.
Field Description No.
The purchase order number.
Buy-from Vendor No.
The number of the vendor that the items are purchased from.
Posting Date
The date on which the entry will be posted.
Vendor Invoice No.
The invoice number that the vendor uses.
On the Lines FastTab, fill in the required fields as described in the following table.
Field Description Location Code
The code of the location where the items on the line will be situated.
Type
Specify G/L Account to indicate the general ledger account type.
No.
The number of the general ledger account.
Quantity
The number of items that are specified on the purchase document line.
Direct Unit Cost Excl. VAT
The direct unit cost of the item, excluding VAT, on the purchase document line.
TDS Nature of Deduction
The TDS code for nature of deduction.
On the Actions tab, in the Functions group, choose Calculate TDS.
To view the calculated TDS, on the Navigate tab, in the Order group, choose Statistics.
On the Actions tab, in the Posting group, choose Post.
See Also
Tasks
How to: Pay Tax Using Payment Journals
How to: Post Tax Collected at Source
How to: Set Up Tax Deducted at Source