A Co X being seller of goods to co Y and X1 (unit of X) purchase goods from Co Y. Instead of paying Sales Consideration in cash to X, Y sold goods to X1.
In the books of X, X1 is credited in the ledger of Y
whether X will collect TCS on goods sold to Y.
Exemption limits are crossed and covered under the provisions of TCS
Menu
Whether TCS applicable??
Replies (6)
Yes TCS should be collected if turnover exceeds 50 lakhs rupees
The turnover exceeds 50 lakhs but the consideration from the other party doesn't received in cash or bank instead by goods (bartar)
I think tax has to be collected even in this case. Though sale consideration is not received in cash, yet book entry to the same effect is made
TCS should be collected
I think tcs is not applicable here , as Tcs is collected on payment received ,
This is very interesting. both x and y companies have made sales. both of them will collect tcs from each other.
Recent Topic
- Claiming Pre Possession Home Loan Interest
- Tax on Pension from EPFO
- Indexation of Sale of Property under New Regime
- TDS ON RENT BY TENANT
- Forward tax charge gst related
- SBI direct mutual funds ITR
- 44AE Section
- FEMA compliant structure
- Tax obligation in AY 2026-27
- EFILING ITR2 FROM COMMON FILING UTILITY
Related Topics
CAclubindia
