Related to section 206c(h) TCS on sale of goods

Thiyagarajan Kandasamy

132 Points Posted on 12 April 2021

TCS based on consideration, for every single customer crossed more than 50 L in the FY or if customer having outstanding not paid for such invoices and consideration in the current FY also be taken care.

surbhi bansal

44 Points Posted on 13 April 2021

That mean if any invoice related to previous financial year but received amount in current year then that received amount also considered on that amount in calculation of 50 lac

Thiyagarajan Kandasamy

132 Points Posted on 13 April 2021

Yes correct, receipt is called as consideration. TCS payable based on consideration

Susmita Dutta, CA , CPA

CA

2141 Points Posted on 15 April 2021

Originally posted by : surbhi bansal
	That mean if any invoice related to previous financial year but received amount in current year then that received amount also considered on that amount in calculation of 50 lac

Yes,Section 206C(1H) will arise only at the time of receipt of consideration.

Manjula

Accountant

119 Points Posted on 16 April 2021

The released tcs circular is not clear about the year, 50lakha limit is for previous year or current FY.. could you please share the notification to send it to our customers

Thiyagarajan Kandasamy

132 Points Posted on 16 April 2021

Its very clear TCS is based on consideration

Manjula

Accountant

119 Points Posted on 16 April 2021

Thank you. actually my query is about threshold limit has to be calculated on previous year consideration or current FY

Thiyagarajan Kandasamy

132 Points Posted on 16 April 2021

Consideration received for the previous balance in the current FY also take into the count, as per rule

Manjula

Accountant

119 Points Posted on 16 April 2021

Some of our suppliers adding TCS in the invoices even the threshold limit not crossed in this financial year

Thiyagarajan Kandasamy

132 Points Posted on 16 April 2021

They assumed it might be crossed and turnover crossed more than 10 crores TCS to be charged by the supplier whose customer transaction more than 50 lakhs including of consideration in current FY