How to enable TDS Deduction for AP Invoice

Thanks for posting this TDS concern in the QuickBooks Community, @ravinder.bathula.

I'm more than happy to help you out with setting up the deductions for Accounts Payable transactions.

To do that, a supplier must be set up with his PAN number and making sure the TDS Applicable box is enabled. Follow the steps below for new and existing suppliers:

1. Go to the Expenses menu, and select Suppliers at the top.
2. ​Click New or choose the supplier name for whom you want to enable TDS. Click Edit for existing profiles.
3. In the supplier information pop up, enter the PAN number and check the TDS Applicable checkbox.
4. Once TDS Applicable checkbox is ticked you will have option to select Entity Type and default TDS section applicable for the supplier. Please select relevant options. TDS will be calculated for the supplier according to the threshold prescribed under the selected section during entry of a Bill or Expense. However, if you want to override threshold and enter the TDS amount manually, please tick the checkbox, which reads Override Calculation Threshold.
   
5. Press Save.

When the TDS is active, you will get option to automatically calculate TDS on an AP invoice. See this:

To learn more about handling TDS for suppliers and customers, please see this article: How to set up TDS

Please visit this forum again for any QuickBooks concerns. I'm also here to help you out if you have additional concerns about setting up TDS in QuickBooks and other tasks. Have a nice week!