17 July 2023
We have a sale to SEZ unit in India in the USD. While getting the amount, TDS is deducted from the payment and the net payment is received in the bank. The bank is creating the BRCs net of TDS value and are asking us to close the Shipping Bill in the EDPMS by writing off the TDS value since the realization is less than the actual Shipping Bill VAlue
Our contention is that we have realized the full value of Shipping bill partly in cash and partly through TDS so this is not a write off. What is the legal stand on this and should bank issue us the full BRC or only to the extent of realized value ignoring the TDS
CAclubindia
