Announcement

Collapse
No announcement yet.

How do I enter accrued interest and TDS of my FD in accounts ?

Collapse
X
  • Filter
  • Time
  • Show
Clear All
new posts

  • How do I enter accrued interest and TDS of my FD in accounts ?

    Here is the example of FD maturing in one year, on 08-May-17, with the accrued interest up to 31-Mar-17 as 9,000 and total interest earned up to 08-May-17 as 10,000.


    1. Add FD entry from PMS. From the summary screen double click on FD.





    2. Select the Transaction Type as Investment. To add the FD name click on New.





    3. Enter the FD name and Reference number and click on OK.





    4. Enter all the required details and Save it.








    5. Go to Accounts & click on New ledger.





    6. Enter the ledger name as Accrued Interest and select the group Current Assets. Click on Add.





    7. Click on Journal voucher from the left panel - Voucher Types.





    8. Make a Journal entry on 31st March : Accrued Interest - debit 9000 to Interest on Investment - credit 9000 and save it.





    9. Select Transaction type as Add - Interest / Withdrawal button.
    Select the Transaction type as 'Withdrawal and make a withdrawal entry of Principal Rs.1,10,000/-. and save it.





    10. Now make a JV entry - Reverse Accrued Interest entry -
    Interest on investment - debit Rs. 9000/- to Accrued Interest credit - Rs. 9000/-


    Last edited by Shweta Rathod; 28-11-18, 11:07 AM.
Working...
X