Expansion of Section 206C (Tax Collected at Source) of the income tax Act, 1961By Kuldeep Dadhich


B) Sale of overseas tour package
C) Sale of goods over a limit.
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liable to deduct tax at source (TDS) under any other provision of the Act and he has deducted such amount.
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the buyer is the Central Government, a State Government, an embassy, a High Commission, legation, commission, consulate, the trade representation of a foreign State, a local authority as defined in Explanation to clause (20) of section 10 or any other person notified by the Central Government in the Official Gazette for this purpose subject to such conditions as specified in that notification.
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liable to deduct tax at source (TDS) under any other provision of the Act and he has deducted such amount.
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the buyer is the Central Government, a State Government, an embassy, a High Commission, legation, commission, consulate, the trade representation of a foreign State, a local authority as defined in Explanation to clause (20) of section 10 or any other person notified by the Central Government in the Official Gazette for this purpose subject to such conditions as specified in that notification.
- liable to deduct tax at source (TDS) under any other provision of the Act and he has deducted such amount.
- No such TCS is to be collected, if the seller is liable to collect TCS under other provision of section 206C.
- the buyer is the Central Government, a State Government, an embassy, a High Commission, legation, commission, consulate, the trade representation of a foreign State, a local authority as defined in Explanation to clause (20) of section 10 or any other person notified by the Central Government in the Official Gazette for this purpose subject to such conditions as specified in that notification.
Nature |
Who will collect |
When will collect |
Limit |
Non Applicability |
TCS Rate |
Foreign Remittance under the LRS |
An Authorized Dealer |
At the time of receipt of the amount or at the time of debiting the amount payable Whichever is earlier; |
Exceeding rupees 0.7 Million in a FY |
If the buyer is liable to deduct TDS under any other provisions and has deducted |
5% |
Overseas tour package |
Seller of the package |
At the time of receipt of the amount or at the time of debiting the amount payable Whichever is earlier; |
Not limit |
If the buyer is liable to deduct TDS under any other provisions and has deducted |
5% |
Sale of goods |
Seller of goods whose turnover in the previous Financial Year exceeds rupees ten crores |
At the time of receipt of any amount as consideration for the sale of such goods |
Exceeding rupees 5 Million in a FY |
If the buyer is liable to deduct TDS under any other provisions and has deducted |
0.10% |
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About Author
Kuldeep Dadhich
Qualification: Company Secretary
Company: Bebitz Flanges Works Private Limited
Location: Mumbai
Member Since: 25 Jul 2019 | Total Articles Contributed: 4
About Author :
Qualified Company Secretary
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