Question: Is TCS Deducted Refundable?

Why is TCS deducted?

If Seller is collecting TCS under any other provisions of the section 206C.

If Buyer is liable to deduct TDS (Tax deducted at Source) under any Provisions of the Income Tax Act and buyer has deducted TDS.

50 lakhs to them , TCS needs to be collected..

Who should collect TCS?

In a statement, the Central Board of Direct Taxes (CBDT) clarified that TCS shall be applicable only on the amount received on or after October 1, 2020 and a seller would be required to collect TCS only if his turnover exceeds Rs 10 crore in the last financial year.

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.

How is TCS amount calculated?

How to Calculate TCS?TCS stands for Tax collected at Source. … Means we added “Scrap value + GST 12%” to arrive at the total “Sales value”. … Total Invoice value is Rs 11312.00.Method 2:In GST case, CA’s have come out saying, the total “Sale Value” shouldn’t consider the GST amount.

What is TCS example?

C is termed as tax collected at source or TCS. Now that we know the difference between TDS and TCS, let us take a look at the rates for both, TDS and TCS….Difference between TDS and TCS.Types of goodsTCS rateTendu leaves5%Forest produce excluding tendu leaves and timber2.5%Scrap1%Metals including lignite, coal, iron ore1%4 more rows•Mar 20, 2020

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.

Is TCS refundable?

Additional amount paid by buyer by way of TCS will reflect in his 26AS statement after the seller filed his TCS Return. … In case buyer has not any tax liability, then TCS amount will be refunded after filing of Income Tax Return. The TCS collected by the buyer is credited against PAN of the buyer.

Is TDS same as 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.

Where is TCS 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 …

Who will file TCS return?

27A in case of both e-TDS/TCS statements. Who is required to file e-TDS/TCS return? As per Income Tax Act, 1961, all corporate and government deductors/collectors are compulsorily required to file their TDS/TCS returns on electronic media (i.e. e-TDS/TCS returns).

How can I refund my TCS in GST?

Steps to be followed for filing the refund claim of excess cash balance in cash ledger:Login to GST portal and select Application for Refund option;Select the reason of Refund as ‘Refund on account of excess balance in cash ledger’.More items…•

What is TCS return?

1. Tax collected at source (TCS) Tax collected at source (TCS) is the tax payable by a seller which he collects from the buyer at the time of sale. Section 206C of the Income-tax act governs the goods on which the seller has to collect tax from the purchasers.

On which amount TCS is deducted?

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.

Is TCS deducted on GST amount?

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.

Who is liable to collect TCS under GST?

Synopsis. In a statement, the Central Board of Direct Taxes (CBDT) clarified that TCS shall be applicable only on the amount received on or after October 1, 2020 and a seller would be required to collect TCS only if his turnover exceeds Rs 10 crore in the last financial year.

What do you know about TCS?

Tata Consultancy Services Limited (TCS) is an Indian multinational information technology (IT) services and consulting company headquartered in Mumbai, Maharashtra, India. It is a subsidiary of the Tata Group and operates in 149 locations across 46 countries.