LIVE GST Certification Course by CA Arun Chhajer begins 27th April. Register Now!!

I want to know that if land is sale for rs 20lakh then whether tcs has to be deducted as per new rule?

Ashim kr Ray (social service) (1685 Points)

05 June 2016

Sir, I want to know if the land is sold partly in cash payment i.e more than 2Laks then whether TCS is to be deducted only on that amount of cash payment.or on whole amount of land,that the payment has been made by cash and cheque.

Reply
Follow
Share

8 Replies

CA.Praveen Ponnappa (CA PRactice) (128 Points)
Replied 05 June 2016

Dear Sir, please note that as per sec 269SS payment can not be accepted in cash if amount is Rs. 20000 or more.

And applicability of TCS is only on sale of goods/service.

3 Like

CA.Praveen Ponnappa (CA PRactice) (128 Points)
Replied 05 June 2016

269SS applies to transaction on immovable property also from 01.06.2015 onwards...

CA.Praveen Ponnappa (CA PRactice) (128 Points)
Replied 05 June 2016

269SS applies to transaction on immovable property also from 01.06.2015 onwards...

Ruchi (CA) (1410 Points)
Replied 05 June 2016

Tcs should be collected on whole amount and not just on the amount of cash payment.

2 Like

vishal (Job) (91 Points)
Replied 05 June 2016

I think, we have to look this transaction from three angels

Land is capital good has specified section 194 IA for TDs.

And 206 (1d) specifically excludes payments made as per chapter xvii b.

This transaction fall under chapter xvii b.

Third from section 269ss.

B SREENIVASA SETTY (PROPRIETOR) (29 Points)
Replied 05 June 2016

I think we have to analyse in the following way.

1. If land purchased from developer by way of cash TCS will attract. Since for him it's sale of goods. For others it's a capital asset. Hence, TCS will not attract.

2. section 269SS is applicable for all the assesses

1 Like