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Section 206cq of income tax act

amay (student) (41 Points)

24 February 2021

i want to know about section 206 cq of income tax act?

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27 Replies

CA Shivani Singhal (Chartered Accountant) (49 Points)
Replied 25 February 2021

Hi, there is no section 206CQ in Income Tax Act. Please provide the correct section.

debora M (BUSINESS DEVELOPMENT MANAGER) (1697 Points)
Replied 25 February 2021

Section 206C(1H) – Every person, being a seller , who receives any amount as consideration for sale of any goods of the value or aggregate of such value exceeding fifty lakh rupees in any previous year, other than the goods being exported out of India or goods covered in sub-section (1) or sub- section (1F)

CA Sapna Ghelani (Chartered Accountant) (7550 Points)
Replied 25 February 2021

There is no specific section 206CQ. But there is a section 206C. Refer - https://www.incometaxindia.gov.in/pages/acts/income-tax-act.aspx

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Archana Bhaskar Madkaikar (Accountant) (56 Points)
Replied 27 February 2021

But in one of our client's Form 26AS that Section is mentioned. Please find the attached file for the same

Attached File : 499522 20210227133607 sec 206cq.jpg downloaded: 6136 times

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CA Shivani Singhal (Chartered Accountant) (49 Points)
Replied 27 February 2021

Hi, this remark is mention in the 26AS in case the amount paid falls under first proviso to sub-section 1G of section 206C.

Section 206C (1G) says, "Every person,—

(a) being an authorised dealer, who receives an amount, for remittance out of India from a buyer, being a person remitting such amount out of India under the Liberalised Remittance Scheme of the Reserve Bank of India;

(b) being a seller of an overseas tour program package, who receives any amount from a buyer, being the person who purchases such package,

shall, at the time of debiting the amount payable by the buyer or at the time of receipt of such amount from the said buyer, by any mode, whichever is earlier, collect from the buyer, a sum equal to five per cent of such amount as income-tax:"

First proviso says, "authorised dealer shall not collect the sum, if the amount or aggregate of the amounts being remitted by a buyer is less than seven lakh rupees in a financial year and is for a purpose other than purchase of overseas tour program package"

Link to section "https://www.incometaxindia.gov.in/pages/acts/income-tax-act.aspx"

Hope it helps

srikar gunnam (7 Points)
Replied 09 March 2021

206CQ

Collection at source on remittance under LRS for purpose other than for purchase of overseas tour package or for educational loan taken from financial institution

The above data is extracted from Form 26AS

1 Like

Pradeep Patil (12 Points)
Replied 27 April 2021

If there are any purchases in Foreign Currency for e.g. Purchase of International Lottery, games etc. These payments are shown under 206CQ by Banks in 26AS.

2 Like

Pranita Bothara Fulfagar (4 Points)
Replied 14 May 2021

Hello Mam,

paid fees in foreign currency , then how to take refund of it. 206CQ.

DrJagannath S (2 Points)
Replied 16 May 2021

If my taxable amount is less than the exemption limit, can I claim refund of tax deducted under section 206CQ?

Vinay Samuel Nandihal (19 Points)
Replied 27 May 2021

SIR CAN I GET REFUND FOR THE TDS DEDUCTED U/S 206CQ???

Sivaramaraju G (Learner) (2398 Points)
Replied 27 May 2021

Yes, You can get refund by filing income tax return.

1 Like

Pranita Bothara Fulfagar (4 Points)
Replied 27 May 2021

HOW, CAN I GET REFUND OF THAT AMT

Incometax File (2 Points)
Replied 10 June 2021

SIR, AMOUNT SHOWN IN PART B OF 26 AS UNDER SECTION 26CQ, , WHETHER THIS AMOUNTS TO INCOME? OR ONLY WE CAN TAKE TDS AND IGNORE THE AMOUNT PAID ETC. PL. CLARIFY. THANKS

Jagadeesh Bharadwaj (4 Points)
Replied 28 June 2021

In Form No. 26 AS, Under Part - B - DETAILS OF TAX COLLECTED AT SOURCE. A sum of Rs.3,772=02 is shown as amount paid / debited. There is no tax collected. In other words, tax collected / tax deposited is ZERO. Now, my presumption is that I may have purchased some item online from overseas platform amounting to Rs.3,772=0 which may have got reflected in Form No. 26 AS. Hence, I do not need to take cognizance of this item for filing my Income-tax Return. Can anybody please guide me in the matter.