People who have packs with lids (I don't) usually carry their tents on top of their packs under the lid, horizontally. Strap that lid down tight to keep it there.

I would never want my tent inside my pack. In the first place, it's more than likely going to be wet (if not from rain, from dew). If it's inside my pack, I want it on top and outside a waterproof pack liner. It's also a good idea to be able to get the tent out and set it up without getting the other contents of your pack wet. It's often going to be raining either when you make camp or when you pack up in the morning!

I've always kept my tent (lightweight single-wall) in one of the outside side pockets of my pack. However, having recently acquired a cuben fiber tent ($$$!), I will probably change this, go back to using a waterproof pack liner instead of dry bags, and pack the tent at the top of my pack outside the pack liner, where it will be more protected. I will be doing some experimenting this spring.