Tcs on jewellary

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RAHUL MATTA (Querist)
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31 December 2013 While undergoing section 206C(1D), I got a query. My question is what is the meaning of "any amount in cash as consideration" in case of sale of jewellary.
For eg. If a person purchases jewellary for Rs. 550000 and make payment partly in cash of rs. 100000 and remaining through cheque. so how TCS shall be attracted?
Whether TCS is to be collected on whole amount or parly payment in cash of Rs. 100000?

Thank You.

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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31 December 2013 As per sec 206C only when cash purchase is more then 2 lakhs then only tcs needs to be collected so not in this case.

RAHUL MATTA

RAHUL MATTA (Querist)
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31 December 2013 Thank you for your reply,.. bt sir if u have undergone sec 206C(1d) of ITact as amended by finance act 2013, it is mentioned that if seller receives "any amount on cash" as consideration of sale of jewellaryshall collect TCS if such consideration exceeds 5 lac.
so sir in my question, TCS shal be collected on 1lac or on the whole consideration i.e 5.5lacs?

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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31 December 2013 Finance act brought this new provision but it hav min value to be in cash for rs 2 lakhs and above so in your case its not applicable as its only 1 lakh.

RAHUL MATTA

RAHUL MATTA (Querist)
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31 December 2013 What would have been your answer if amount received in cash is rs 2.5 lacs and remaining 3 lacs are through cheque?
would TCS shall be on 2.5 lac or 5 lac?

RAHUL MATTA

RAHUL MATTA (Querist)
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31 December 2013 What would have been your answer if amount received in cash is rs 2.5 lacs and remaining 3 lacs are through cheque?
would TCS shall be on 2.5 lac or 5 lac?

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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31 December 2013 only on cash component i.e 2.5 lakhs as it satisfies both condition to be in cash and exceeds rs 2 lakhs.

RAHUL MATTA

RAHUL MATTA (Querist)
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31 December 2013 What would have been your answer if amount received in cash is rs 2.5 lacs and remaining 3 lacs are through cheque?
would TCS shall be on 2.5 lac or 5 lac?

RAHUL MATTA

RAHUL MATTA (Querist)
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31 December 2013 so TCS shall be on 2.5 or 5.5Lacs

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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31 December 2013 it will be only on 2.5 lakhs only.

RAHUL MATTA

RAHUL MATTA (Querist)
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31 December 2013 can u just clarify the provision of min value of 2lac as i did not found it anywhere?

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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31 December 2013 Refer this link and check for sec 206 ammendments.

https://www.caclubindia.com/share_files/amendments-for-may-2013-taxation-53904.asp#.UsMrNNJDtA0

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