While calculating the threshold limit of Rs 50 lacs of purchase from a supplier during the FY ( beyond which TCS becomes applicable) , is the taxable value of purchase considered, or the gross value of purchases (inclusive of GST) considered for the 50 lacs threshold calculation ?
Menu
Applicability of TCS on purchase from supplier
Replies (2)
Quick Summary
You have to consider Taxable value (exclusive of GST) for both TDS & TCS
The government has introduced a new section 206C (1H) through Finance Act 2020 to extend the TCS provisions to the seller of goods. As per this provision, a seller whose turnover is above Rs 10 crore is required to collect tax, when he receives more than Rs 50 lakh from one buyer during a financial year.
Recent Topics :
- FAST-DS 2026 applicability: foreign employee share
- NRI Property Sale in India: TDS Rates and Key Comp
- Clarification on September 2026 PF Calculation for
- DRC-03 interest paid under CGST/SGST instead of IG
- GSTR1 amendment Bulk bills
- Capital Gain on Sale of Gold
- GST SALES RETURN MISSING 2025-26 FY
- Enquiry on FAST-DS system generated email
- Capital gain on sale of agriculture land
- Demand from TRACES
Related Topics :
CAclubindia
