TDS on Purchase of Goods 194Q

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Husseini (Querist)
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27 January 2026 We have purchased goods from one seller of Rs.51,42,380/- including GST amount. So, should we deduct TDS 0.1%
In financial year 2024-2025 our Turnover is 3 Cr.

CMA BABU.D

CMA BABU.D (Expert)
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27 January 2026 No, Section 194Q is NOT applicable to you.

Why 194Q doesn’t apply
Section 194Q (TDS on purchase of goods) applies only if:
- Buyer’s turnover in the immediately preceding FY > INR 10 cr mandatory condition
- Purchase from a seller exceeds INR 50 lakh in the current FY

In your case: FY 24–25 turnover = INR 3 cr | This is below INR 10 cr | So 194Q TDS is not applicable, even though you purchased INR 51 lakh (incl. GST) from a single seller.

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Husseini

Husseini (Querist)
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28 January 2026 Thank you for reply sir

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