One of my client facing the problem with TDS adjustment journal. For the wrong purchase invoice (including RCM & TDS) passed Credit memo and TDS Adjustment Journals. Here the problem is while applying the TDS adjustment journal to the purchase invoice system calculating service tax amount on TDS amount also and the entry is updating like:
TDS Payable a/c Dr
Service tax Payable Intrim a/c Dr
to Service Tax Payable Intrim a/c Cr
to vendor a/c Cr
Due to the problem user cannot able to knock off the entry with Creditmemo entry.
Can anyone please suggest, why and how the system updating such entries.
Currently they are using NAV 2016 IN product.
Thanks in advance…