Difference sec 194q vs sec 206(c)
This query is : Resolved
05 June 2021
Sir,
Confused What is the difference between sec 194q and sec 206(c) in it act and applicable assess in it act.
Confused What is the difference between sec 194q and sec 206(c) in it act and applicable assess in it act.
06 June 2021
Applicability of section 194Q with Examples:
Seller’s Turover : Rs. 9 Crores
Buyer’s Turover : Rs. 15 Crores
Receipt or Payment for sale or purchase of Goods in previous year : Rs. 55 lakhs
Taxability:
Buyer’s Turnover is more than Rs. 10 Crores
Taxable amount : Rs. 5 lakhs ( Rs. 55 lakhs-Rs.50 lakhs)
TDS u/s194Q : 0.1% on Rs. 5* lakhs
TCS u/s 206C(1H): not applicable as Seller’s turnover is less than 10 Crores.
Seller’s Turover : Rs. 15 Crores
Buyer’s Turover : Rs. 9 Crores
Receipt or Payment for sale or purchase of Goods in previous year : Rs. 55 lakhs
Taxability:
Buyer’s Turnover is less than Rs. 10 Crores
Seller’s Turover is more than Rs. 10 Crores
Taxable amount : Rs. 5 lakhs ( Rs. 55 lakhs-Rs.50 lakhs)
TDS u/s194Q : Not applicable
TCS u/s 206C(1H): 0.1% on Rs. 5 lakhs**.
Seller’s Turover : Rs. 15 Crores
Buyer’s Turover : Rs. 15 Crores
Receipt or Payment for sale or purchase of Goods in previous year : Rs. 55 lakhs
Taxability:
Buyer’s Turnover is more than Rs. 10 Crores
Seller’s Turover is more than Rs. 10 Crores
Taxable amount : Rs. 5 lakhs ( Rs. 55 lakhs-Rs.50 lakhs)
TDS u/s194Q : 0.1% on Rs. 5 lakhs*
TCS u/s 206C(1H): Not applicable (see exception).
Seller’s Turover : Rs. 9 Crores
Buyer’s Turover : Rs. 15 Crores
Receipt or Payment for sale or purchase of Goods in previous year : Rs. 55 lakhs
Taxability:
Buyer’s Turnover is more than Rs. 10 Crores
Taxable amount : Rs. 5 lakhs ( Rs. 55 lakhs-Rs.50 lakhs)
TDS u/s194Q : 0.1% on Rs. 5* lakhs
TCS u/s 206C(1H): not applicable as Seller’s turnover is less than 10 Crores.
Seller’s Turover : Rs. 15 Crores
Buyer’s Turover : Rs. 9 Crores
Receipt or Payment for sale or purchase of Goods in previous year : Rs. 55 lakhs
Taxability:
Buyer’s Turnover is less than Rs. 10 Crores
Seller’s Turover is more than Rs. 10 Crores
Taxable amount : Rs. 5 lakhs ( Rs. 55 lakhs-Rs.50 lakhs)
TDS u/s194Q : Not applicable
TCS u/s 206C(1H): 0.1% on Rs. 5 lakhs**.
Seller’s Turover : Rs. 15 Crores
Buyer’s Turover : Rs. 15 Crores
Receipt or Payment for sale or purchase of Goods in previous year : Rs. 55 lakhs
Taxability:
Buyer’s Turnover is more than Rs. 10 Crores
Seller’s Turover is more than Rs. 10 Crores
Taxable amount : Rs. 5 lakhs ( Rs. 55 lakhs-Rs.50 lakhs)
TDS u/s194Q : 0.1% on Rs. 5 lakhs*
TCS u/s 206C(1H): Not applicable (see exception).
Message likes :
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07 June 2021
* 194Q - tax deduction on payment made by PURCHASER of goods.
*206C(1H) - tax collection on amount received by SELLER of goods.
*206C(1H) - tax collection on amount received by SELLER of goods.
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