Question: On What Amount Is TCS Collected?

Is TCS refundable?

In this regard, it may be noted that TCS is not an additional tax but is in the nature of advance income-tax/TDS for which the buyer would get the credit against his actual income tax liability and if the amount of TCS is more than his tax liability, the buyer would be entitled for refund of the excess amount along ….

Is GST charged on TCS?

Tax Collected at Source (TCS) under GST means the tax collected by an e-commerce operator from the consideration received by it on behalf of the supplier of goods, or services who makes supplies through operator’s online platform. TCS will be charged as a percentage on the net taxable supplies.

Can TCS be claimed as refund?

TDS can be deducted by a bank on interest income paid to you or by your tenant. TCS (tax collected at source) could have been paid by you if the motor vehicle you purchased was worth more than Rs 10 lakh. Credit of TCS during the year has to be claimed in your ITR in a manner similar to that for TDS.

How can I get TCS refund?

Any GST portal user can click on ‘TDS and TCS credit received’ tile available on return dashboard after logging in. This can help them to claim or reject the credit of TDS and TCS deducted or collected by their corresponding Government deductor or e-commerce operator.

What is difference between TDS and TCS?

TDS is the tax which is deducted on a payment made by a company to an individual, in case the amount exceeds a certain limit. TCS is the tax which is collected by sellers while selling something to buyers. TDS deduction is applicable on payments such as salaries, rent, professional fee, brokerage, commission, etc.

How is TCS calculated for scrap sales?

The invoice value or selling price is Rs 11200.00. So the TCS is calculated on this amount. Means we added “Scrap value + GST 12%” to arrive at the total “Sales value”. … TCS 1% on this “Sale Value” is Rs 112.00 and this is withheld back from the total payment.

Is TCS applicable on electricity?

Electricity is considered as “goods” and that makes AEML a seller of goods(electricity). This tax implementation is applicable to all seller of goods whose annual turnover is exceeding Rs. 10 crore. Hence, TCS is applicable to consumers of Adani Electricity Mumbai consumers.

On which amount TCS is calculated?

Section 206C(1H) envisages that TCS at the rate of 0.10% of the sale consideration received in excess of ₹ 50 Lakhs shall be collected by the seller. As such, TCS shall be collected on Total Sale Value received less ₹ 50 lakh.

On which item TCS is applicable?

Seller who receives any amount as consideration for sale of any goods aggregating to 5 million Indian Rupee (INR) or more in a financial year from a buyer, at the time of receipt of such amount is required to collect tax at source (TCS) at the rate 0.1 per cent on the sale consideration exceeding INR 5 million as …

What is new TCS rule?

As per the new provision if any seller of any goods whose turnover in the preceding FY exceeds Rs. 10 Crore then, from 1st of October 2020, he shall be liable to collect TCS @ 0.1% (Rate will be 0.075% till 31.03. 2021) of the sale value from the buyer if the buyer purchase goods for the value exceeding Rs.

Is TCS applicable on job work?

TCS on Job work or Works Contracts A contract for job-work or a works contract comes under the purview of TDS provisions under section 194C. Hence, TCS provisions under section 206C(1H) shall not apply on Job-works/works contracts.

What is TCS amount?

The Finance Act, 2020 has amended the provisions relating to TCS with effect from October 1, 2020 to provide that a seller of goods shall collect tax at the rate of 0.1 per cent (0.075 per cent up to March 31, 2021) if the receipt of sale consideration from a buyer exceeds Rs 50 lakh in the financial year.

Who is liable for TCS?

who is liable to collect TCS? Ans. Seller whose total sales, gross receipt or turnover from the business carried on by him exceeds Rs. 10 crores during the financial year immediately preceding financial year in which sale is carried out.

What happens if TCS is not collected?

Consequences if default is made in payment of TCS c) Prosecution: If a person fails to pay to the credit of the Central Government the tax collected by him he shall be punishable with rigorous imprisonment for a term which shall not be less than three months but which may extend to seven years and with fine.

When should TCS be collected?

4. TCS Payments & ReturnsCollection MonthQuarter EndingDue Date of filing returnDecember31st December15th JanuaryJanuary31st March15th MayFebruaryMarch8 more rows•Sep 29, 2020