· Applicability from 1st October, 2020
· TCS on Sale of Goods only
· TCS on those goods which are not covered earlier
· Applicable for every person having turnover of Rs. 10 Crores or more in the previous year
· FY 2019-2020 is the first previous year to check the applicability
· TCS rate for collection is 0.1%
· TCS rate for FY 2020-21 is 0.075 % will be applicable up to 31-03-2021
· TCS rate 1% will be applied where PAN and Aadhar numbers are not available
· TCS will be applicable where aggregate collection in the Current Year exceed Rs. 50 Lacs
Exceptions
· Goods exported out of India
· Goods covered under section 206C (1), - Scrap, Tendu Leaves, Alcoholic liquor for human consumption, Timber, any other forest product etc.
· Goods covered under section 206(1F) - motor vehicles.
· Goods covered under section 206(1G) - Authorised dealer for remittance of money outside India under liberalized Remittance Scheme (LRS) of RBI.
· The Central Government, a State Government, an embassy, a High Commission, Legation commission, consulate and the trade representation of foreign state or
· A local authority as defined in the explanation to clause (20) of section 10 or,
· A person importing goods into India or any other person as the central government may by notification in the official gazette, specify for this purpose, subject to such conditions as may be specified therein.
TCS Due date for Collection – Date of receipt of amount from buyer
Due date for Deposit of TCS – within 7 days from the end of the month, in which TCS collected
Due date of TCS Return – Quarterly – Within 15 days from the end of the respective quarter (15th May in the case of Fourth quarter only) – Form 27EQ – with complete details of buyers and their TCS amount.
Non-compliance of TCS Return - Late Fee Rs. 200/- per day (subject to maximum amount of Tax)
How to calculate TCS - TCS will be calculated on Gross receipts (inclusive taxes if any charged)