Manage tax deduction at source, tax ledger, compute payable and pay through bank (vendor bill)¶
TDS stands for Tax Deducted at Source. It was introduced to collect tax at the source from where an individual’s income is generated.
The government uses TDS as a tool to collect tax in order to minimise tax e vasion by taxing the income (partially or wholly) at the time it is generated rather than at a later date.
TDS is applicable on the various incomes such as salaries, interest received, commission received, consulting or professional services, job-work, etc.
The My Company gets the prefessional consulting services form Ajay Consulting Services we have to deduct the TDS @ 10% and deposit to the government by the 7th of next month.