Skip to Content

Untitled1.jpg

Applies to:

Any business organization having TDS Implemented. This is applicable from ECC 6.0. For more

information, visit the Enterprise Resource Planning homepage.

Summary

This article displays the process of  TDS Update Bank Challan, Issue  Certificate and Quarterly return.

1.Hand Book Objective

The following document is to show the Process sequences that was development for the FI EWT) sub-module.This document contains the standard Process of the SAP ECC 6.0.

2. TDS

Tax Deducted at Source is one of the modes of collecting Income-tax from the assesses in India. This is governed under Indian Income Tax Act, 1961, by the Central Board for Direct Taxes (CBDT) and is part of the Department of Revenue managed by Indian Revenue Service (IRS), Ministry of Finance, Govt. of India.

2.1 Vendor Invoice with TDS 

Module:

FI –  Financial Accounting

Area:

Extended Withholding Tax

Description:

Create Vendor Invoice

Navigate:

Accounting –> Financial Accounting –> Accounts Payable Document Entry FB60 – Invoice

Direct access:

FB60

Configured by:

Date:

18/10/2012

Prerequisite: Check vendor master should have maintained VAT Reg.No and Assigned EWT Type and code

Create Vendor invoice through FI Side, In case invoice comes from MIRO (MM side)use T.code J1INPP to update Business place

Untitled2.jpg

Untitled3.jpg

2.2  Creation & payment of TDS to Gov

When you have remitted the deducted TDS to the government, you are sent a challan confirming that payment has been received. The system allows you to record the number of the challan in the invoices from which the TDS had been deducted and paid.

Module:

FI –  Financial Accounting

Area:

Extended Withholding Tax

Description:

– Create Remittance Challan

Navigate:

Accounting –> Financial Accounting –> Accounts Payable Withholding Tax –>India –> Extended Withholding Tax –> Remittance of Withholding Tax –> J1INCHLN – Create Remittance Challan

Direct access:

J1INCHLN

Configured by:

Date:

18/10/2012

Untitled4.jpg

Execute

Untitled5.jpg

Untitled6.jpg

SAVE

Untitled7.jpg

Untitled8.jpg

2.3  Enter Bank Challan

Module:

FI –  Financial Accounting

Area:

Extended Withholding Tax

Description:

Enter Bank Challan

Navigate:

Accounting  –> Financial Accounting –> Accounts Payable –> Withholding Tax –> India –> Extended Withholding Tax–>Remittance of Withholding Tax –>J1INBANK – Enter Bank Challan

Direct access:

J1INBANK

Configured by:

Date:

18/10/2012

Untitled9.jpg

Untitled10.jpg

Untitled11.jpg

2.4 Issue Certificates

Prerequisites

You have already remitted the TDS to the government and recorded the challan number in the transactions concerned (see Update of Challans). Only transactions with a challan number can be included in certificates.

The certificate printing program uses SAPscript form J_1ITDSCERT. If there are some changes in the certificate format this layout set can be changed accordingly.

If the certificates are to be divided by business area, with a unique number range per business area, you must have maintained the sections as a combination of section and business area, so for business area 0001 and section 194C, you could maintain the section as 194C0001, for example.

Module:

FI –  Financial Accounting

Area:

Extended Withholding Tax

Description:

Certificates

Navigate:

Accounting  –> Financial Accounting –> Accounts Payable –> Withholding Tax –>India –>Extended Withholding Tax –>Certificates–>J1INCERT – Print

Direct access:

J1INCER

Configured by:

Date:

18/10/2012

Untitled12.jpg

Execute

Untitled13.jpg

Execute

Untitled14.jpg

Untitled15.jpg

2.5 Quarterly TDS Returns

You use the Quarterly TDS Returns report to generate electronic TDS returns for payments other than salaries. You use the same report to generate the returns for residents and non-residents by choosing either Form 26Q or Form 27Q respectively. You prepare the returns on a quarterly basis.

Module:

FI –  Financial Accounting

Area:

Extended Withholding Tax

Description:

Quarterly TDS Returns

Navigate:

Accounting  –>  Financial Accounting –> Accounts Payable –> Withholding Tax –> India–>Extended Withholding Tax–>Reporting–>J1INQEFILE – Quarterly TDS Returns

Direct access:

J1INQEFILE

Configured by:

Date:

18/10/2012

Untitled16.jpg

Untitled17.jpg

To report this post you need to login first.

8 Comments

You must be Logged on to comment or reply to a post.

  1. Former Member

    Hello Raheem,

    Nice Doc.

    One point, when you are creating “J1INCHLN – Create Remittance Challan“, “total basic TDS remitted” is not updated.

    You need to update 0 % for all the WH Tax type and Code combination, in below two table (even though ECS and surcharge is not applicable).

    SE16n – J_1IEWT_ECESS1

    SM30 –  J_1IEWT_SURC1

    Regards,

    (0) 
  2. Former Member

    Nice document

    And please insert…quarterly wise challan number updating screen shot,So it will help this document.

    Regards

    Sudharsana Vamsi

    (0) 

Leave a Reply