Frequently Asked
Questions
Find Solutions to Common Issues Related to taxation - tds tcs data feeding and report
I am facing an issue where TCS is being applied on all parties instead of just the select parties. How do I fix this?
To configure the TCS configuration should done properly in BUSY and TCS is enable in the party master.
Pls Follow the Below the Steps for TCS Calculation :
Step 1: Click on Administration
Step 2: Then Configuration
Step 3: Then Features and Options
Step 4: Enable the TDS/TCS option
Step 5: Mention the warning for TDS purachse and payment voucher as per your requirement in the bottom.
Step 6: Open the party account in modify mode
Step 7: Then in TDS/TCS window, mention the applicable limit- Applicable from Start.Then TDS will get charge if the limit get cross after 50 lakh.
Step 8: Book the TCS entry through sales voucher by adding the TCS bill sundry.When you save the voucher then tcs reference will get create and can adjust the refernce during the receipt voucher.
Step 9: When you do the TCS payment, Then DEBIT the tcs acccount and CREDIT the bank account. Adjust the tcs reference which you have created in while booking the tds entry.
What should I check to reconcile differences between TDS eligibility and actual deductions?
To reconcile differences between TDS eligibility and actual deductions, you should check the following:
1. Verify the TDS eligibility criteria for different parties, such as resident, NRI, etc.
2. Ensure that the threshold limit for TDS eligibility is calculated correctly.
3. Check if the TDS deductions are being applied correctly based on the applicable TDS rates for different categories.
4. Review the transactions and ensure that the assessable value and tax amount are accurately recorded for TDS calculations.
5. Confirm if any disallowances or deductions under section 40 are accounted for while deducting TDS.
6. Check if any lower TDS deduction certificates are provided and accounted for correctly.
7. Verify if any excess TDS deductions in one period are adjusted against the liability of the next period.
8. Ensure that any interest or penalty paid for TDS defaults are accounted for accurately.
9. Review the process for revising TDS returns and understand the impact on accounting.
How do I setup TDS categories and references in BUSY? What is the correct way to configure this?
To setup the TDS deduction in the voucher and TDS category.
Pls follow the below steps for TDS category :
Step 1: Click on administration
Step 2: Then Masters
Step 3: Then TDS Category
Step 4: Select the TDS Category, then open and change the tax rate for the payee category in the tds with PAN and TDS without PAN column and save it.
Pls Follow the Below the Steps for TDS Calculation :
Step 1: Click on Administration
Step 2: Then Configuration
Step 3: Then Features and Options
Step 4: Enable the TDS/TCS option
Step 5: Mention the warning for TDS purachse and payment voucher as per your requirement in the bottom.
Step 6: Open the party account in modify mode
Step 7: Then in TDS/TCS window, mention the applicable limit- as per your requirement and payee category.
Step 8: Then in purchase voucher will calculate automatically when limit get cross and reference will get create.
I can't locate the TCS for sales/purchase heads. Can you please guide me where to find them?
To configure the TCS configuration should done properly in BUSY and TCS is enable in the party master.
Pls Follow the Below the Steps for TCS Calculation :
Step 1: Click on Administration
Step 2: Then Configuration
Step 3: Then Features and Options
Step 4: Enable the TDS/TCS option
Step 5: Mention the warning for TDS purachse and payment voucher as per your requirement in the bottom.
Step 6: Open the party account in modify mode
Step 7: Then in TDS/TCS window, mention the applicable limit- Applicable after limit.Then TDS will get charge if the limit get cross after 50 lakh.
Step 8: Book the TCS entry through sales voucher by adding the TCS bill sundry.When you save the voucher then tcs reference will get create and can adjust the refernce during the receipt voucher.
Step 9: When you do the TCS payment, Then DEBIT the tcs acccount and CREDIT the bank account. Adjust the tcs reference which you have created in while booking the tds entry.
I am getting errors while trying to account for TCS tax in BUSY. How to resolve this?
To resolve errors while accounting for TCS tax in BUSY, you can try the following steps:
1. Make sure that TCS is enabled in the software. You can check this by going to the settings or configuration section of the software.
2. Verify that the TCS tax rate is correctly set up in the software. Double-check the rate and ensure it is accurate.
3. Check the party master settings for the specific party you are trying to account for TCS tax. Ensure that the TCS category is properly assigned to the party.
4. If the error persists, try regenerating the voucher or restarting the software. Sometimes, this can resolve any temporary glitches or issues.
If the issue still persists, it is recommended to reach out to BUSY support for further assistance. They will be able to provide specific guidance and troubleshooting steps based on the error message or issue you are encountering.
I enabled TCS in BUSY but the TCS report is not generating. What should I do?
To configure the TCS configuration should done properly in BUSY and TCS is enable in the party master.
Pls Follow the Below the Steps for TCS Calculation :
Step 1: Click on Administration
Step 2: Then Configuration
Step 3: Then Features and Options
Step 4: Enable the TDS/TCS option
Step 5: Mention the warning for TDS purachse and payment voucher as per your requirement in the bottom.
Step 6: Open the party account in modify mode
Step 7: Then in TDS/TCS window, mention the applicable limit- Applicable after limit.Then TDS will get charge if the limit get cross after 50 lakh.
Step 8: Book the TCS entry through sales voucher by adding the TCS bill sundry.When you save the voucher then tcs reference will get create and can adjust the refernce during the receipt voucher.
Step 9: When you do the TCS payment, Then DEBIT the tcs acccount and CREDIT the bank account. Adjust the tcs reference which you have created in while booking the tds entry.
What is the setting to apply TCS tax only on sales and not on purchases?
To configure the TCS configuration should done properly in BUSY and TCS is enable in the party master.
Pls Follow the Below the Steps for TCS Calculation :
Step 1: Click on Administration
Step 2: Then Configuration
Step 3: Then Features and Options
Step 4: Enable the TDS/TCS option
Step 5: Mention the warning for TDS purachse and payment voucher as per your requirement in the bottom.
Step 6: Open the party account in modify mode
Step 7: Then in TDS/TCS window, mention the applicable limit- Applicable after limit.Then TDS will get charge if the limit get cross after 50 lakh.
Step 8: Book the TCS entry through sales voucher by adding the TCS bill sundry.When you save the voucher then tcs reference will get create and can adjust the refernce during the receipt voucher.
Step 9: When you do the TCS payment, Then DEBIT the tcs acccount and CREDIT the bank account. Adjust the tcs reference which you have created in while booking the tds entry.
What steps should I follow to adjust TDS references from the previous year in the current year within BUSY?
The TDS and TCS references not get carry forward to the next year.When previous year TDS and TCS reference are pending then can adjust that reference in the current financial year.
Pls follow the below steps:
Step 1: In the last year, you have to create the liability by name tds and tcs payable account under current liability
Step 2: Go to the transaction and pass the journal voucher, DEBIT the tds and tcs payable account and CREDIT the tds and tcs account.While saving the voucher adjust the tds reference and add the bank details later when you do the payemnt.Then the balance will get carry forward in the tds payable account.
Step 3: Change the financial year with new and changed masters from Administration menu.
Step 4: Go to the transactions, Pass the tds and tcs payment entry through journal voucher. DEBIT the tds and tcs payable account and CREDIT the cash or bank account.
The TDS and TCS reference numbers from last year are not getting carried forward to this year. How can I see previous years' TDS and TCS references in the current year?
The TDS and TCS references not get carry forward to the next year.When previous year TDS and TCS reference are pending then can adjust that reference in the current financial year.
Pls follow the below steps:
Step 1: In the last year, you have to create the liability by name tds and tcs payable account under current liability
Step 2: Go to the transaction and pass the journal voucher, DEBIT the tds and tcs payable account and CREDIT the tds and tcs account.While saving the voucher adjust the tds reference and add the bank details later when you do the payemnt.Then the balance will get carry forward in the tds payable account.
Step 3: Change the financial year with new and changed masters from Administration menu.
Step 4: Go to the transactions, Pass the tds and tcs payment entry through journal voucher. DEBIT the tds and tcs payable account and CREDIT the cash or bank account.
I am unable to save TCS/TDS entries for the previous financial year in the current financial year. What should I do to be able to enter past TCS/TDS amounts?
The TDS and TCS references not get carry forward to the next year.When previous year TDS and TCS reference are pending then can adjust that reference in the current financial year.
Pls follow the below steps:
Step 1: In the last year, you have to create the liability by name tds and tcs payable account under current liability
Step 2: Go to the transaction and pass the journal voucher, DEBIT the tds and tcs payable account and CREDIT the tds and tcs account.While saving the voucher adjust the tds reference and add the bank details later when you do the payemnt.Then the balance will get carry forward in the tds payable account.
Step 3: Change the financial year with new and changed masters from Administration menu.
Step 4: Go to the transactions, Pass the tds and tcs payment entry through journal voucher. DEBIT the tds and tcs payable account and CREDIT the cash or bank account.
