Save Rs 588 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Regarding TDS TCS

Save Share

This query is : Resolved

Quick Summary

This discussion clarifies that no Tax Deducted at Source (TDS) is required on royalty payments made to the Government. The Government is not considered a seller for Tax Collected at Source (TCS) purposes in this context, meaning the payer is not obligated to collect TCS on such royalty payments.

Suresh S. Tejwani

Suresh S. Tejwani (Querist)

06 May 2025 WHO IS LIABLE FOR TDS/TCS ON ROYALTY PAID TO GOVERNMENT??

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

07 May 2025 No tax is required to be deducted at source (TDS) on any sum payable to the Government. If you are making a royalty payment to the Government, you are not liable to deduct TDS on such payments.
Government, when receiving royalty, is not acting as a seller in the context of TCS provisions, and there is no requirement for the payer to collect TCS on royalty payments made to the Government.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

16 September 2025 Good luck.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now