| # To set up Tax Deducted at Source (TDS) This functionality is specific for India. You can set up tax codes for TDS as described in To set up withholding tax. Note You must always include tax codes for TDS in a group tax code. Usually, you can combine the tax code for Service tax and the tax code for TDS in the group tax code. For transactions to which only TDS applies without service tax or other tax of the VAT kind, you must set up a group tax code to which you add the TDS tax code and a VAT tax code with zero tax rates. You can link the group tax code to invoices and advance payments. To set up TDS If you set up TDS, note the following points: In the Registration Numbers By Financial Company (tctax9140m00l) session, you must enter your TAN and PAN registration numbers. In the Registration Numbers by Business Partner (tctax4100m000) session, you must enter your business partners' TAN and PAN registration numbers. For the addresses of your own company, your suppliers' invoice-from and pay-to roles, and the Registration User of the TDS declaration, in the Addresses (tccom4130s000) session, you must enter the complete address details that are required on the tax declaration, including: The state code for e-TDS or the Deductor's state code, in the State/Province field. The Postal identification Number (PIN code), in the ZIP Code/Postal Code field. Your company's email address, which is used as the Deductor's email address. Your company's telephone number, which is used as the Deductor's STD code or telephone number. Your company's permission letter number, in the Address Line 1 field. For withholding tax codes, in the Tax Codes by Country (tcmcs0136s000) session, select Normal in the Tax Type field. However, for TDS tax codes on purchase invoices that will be assigned to advance payments, select On Payments. Note If different tax codes are linked to the purchase invoice and the advance payment, you must ensure that you define the same posting data for the tax codes in the Posting Data for Tax Codes (tfgld0171s000) session. Related topics To set up withholding tax Tax Deducted at Source - declarations and payments |