tax collection at source

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vijay laxmi yadav (Querist)

23 November 2016 what types of service is provided then tax collection at source is applied.please tell me name of the services. and would TCS and TDS apply simultaneously.

Anand

Anand (Expert)

24 November 2016 Section 206C deals with the levy of TCS. TCS is to be collected from Buyer, by seller, in case of sale of Alcoholic Liquor, Tendu Leaves, Timber, Forest Produce, Scrap, Coal, Lignite, Iron ore.
Similarly person granting lease, license for Parking Lot, Toll Plaza and Mining and Quarrying is also required to collect TCS.
In case of sale of Jewellery in cash above Rs. 5,00,000/-, Bullion in cash above 200000/- and any goods or services above Rs. 2,00,000/- in cash TCS is to be collected. In this circumstance if tax is deducted, no TCS needs to be collected.

In case of sale of motor vehicle above 1000000/- TCS is to be collected.

So to answer you, providing anyservices for consideration in cash above Rs. 2,00,000/- will require levy of TCS at 1%. In case receiver of services is going to deduct TDS no need for collection of TCS from them.

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