27.9 C
Delhi
Wednesday, October 21, 2020

TCS to be collected by seller from Oct 1 only if turnover exceeds Rs 10 cr: CBDT

- Advertisement -

Middle class may gain from lower tax rates in Budget FY21New Delhi, Sep 30 (PTI) The CBDT on Wednesday said a seller would be required to collect tax collected at source (TCS) from October 1 only if his turnover exceeds Rs 10 crore in the last financial year.

The Finance Act, 2020 has amended the provisions relating to TCS with effect from October 1, 2020 to provide that a seller of goods shall collect tax at the rate of 0.1 per cent (0.075 per cent up to March 31, 2021) if the receipt of sale consideration from a buyer exceeds Rs 50 lakh in the financial year.

“… this TCS shall be applicable only on the amount received on or after 1st October, 2020,” the CBDT said.

In a statement, the Central Board of Direct Taxes (CBDT) clarified that TCS shall be applicable only on the amount received on or after October 1, 2020 and a seller would be required to collect TCS only if his turnover exceeds Rs 10 crore in the last financial year.

Moreover, the export of goods has been exempted from the applicability of the provisions of TCS, it added.

The CBDT said there are only around 3.5 lakh persons who have disclosed business turnover of more than Rs 10 crore in FY 2018-19 whereas active deductors / collectors as on date stand at more than 18 lakh.

Therefore, the collection under these new provisions would be required to be made by very few persons who in most of the cases would already be complying with the existing provisions of tax deducted at source (TDS)/TCS.

The CBDT said due to the high threshold for collector and exceptionally low rate of TCS, this TCS would neither result in new compliance burden on the collector nor cause any difficulty for the collector. PTI JD ABM ABM

India Updates
India Updates is an independent news & Information website. Follow us for regular updates on News and Information.

Follow Us On

Related News

Income Tax Department carries out searches in Bihar

New Delhi, Oct 21 (IANS) The Income Tax Department carried out searches on October 19 in the cases of two government contractors having premises...

Prasar Bharati ends PTI subscription, seeks fresh proposal

New Delhi, Oct 16 (IANS) Prasar Bharati has ended its subscription of news agency Press Trust of India (PTI) and will now invite fresh...

Market cap of 9 of top-10 firms skyrockets by Rs 3 lakh cr

New Delhi, Oct 11 (PTI) Nine of the 10 most valued companies added a whopping Rs 3,01,145.46 crore to their combined market capitalisation last...

New TDS/TDS rules not for power trading, insurance agents

New Delhi, Oct 6 (IANS) The government has exempted power trading transactions from the purview of tax deducted at source (TDS) and tax collected...

GST compensation cess to be levied beyond June 2022

New Delhi, Oct 6 (IANS) Even with consensus eluding a decision on the new formula to pay GST compensation to states, the 42nd meeting...

September data showing “credible signs” of eco growth: FinMin

New Delhi (PTI) The Finance Ministry on Saturday said the month of September has exhibited “credible signs” of economic growth towards normalcy and the...

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Trending Topics In India

Covid 19 India Updates

India in ”extremely comfortable position” in terms of oxygen availability: Health Ministry

New Delhi, Oct 20 (PTI) There has been no scarcity in oxygen supply in the last 10 months with the daily production capacity enhanced...

India in ”extremely comfortable position” in terms of oxygen availability: Health Ministry

New Delhi, Oct 20 (PTI) There has been no scarcity in oxygen supply in the last 10 months with the daily production capacity enhanced...

Virus can hit recovered Covid patients once antibodies start depleting: ICMR

New Delhi, Oct 20 (IANS) Patients who have recovered from Covid-19 can again get infected by the virus once the antibodies of the viral...

Covid to reduce profits of hospitals by 35-40% this fiscal: Crisil

Mumbai, Oct 20 (IANS) Postponement of elective surgeries, revenue loss from the highly profitable medical tourism segment, and increasing safety and sanitisation costs amid...

‘India can become global PPE hub, more R&D efforts needed’

New Delhi, Oct 18 (IANS) Within six to seven months, India has become a major manufacturer of personal protective equipment (PPE) kits and even...

Bharat Biotech & Washington Univ developing nasal vax for Covid: Minister

New Delhi, Oct 18 (IANS) Union Health Minister Harsh Vardhan on Sunday informed that Bharat Biotech will develop an intranasal vaccine for Sars-CoV-2, the...

Trending News In India

Verizon partners with Nokia to launch private 5G platform

New Delhi, Oct 21 (IANS) Leading telecom services provider Verizon on Tuesday said it has partnered with Nokia to launch its international private 5G...

Cabinet okays MoU between India and Nigeria on space cooperation

New Delhi, Oct 21 (IANS): The Union Cabinet chaired by Prime Minister Narendra Modi was on Wednesday apprised of a Memorandum of Understanding (MoU) signed...

ECI sets up panel to examine expenditure limit for candidates

New Delhi, Oct 21 (IANS) In view of upcoming elections, the Election Commission has constituted a two-member committee to examine the issues concerning expenditure limit...

Income Tax Department carries out searches in Bihar

New Delhi, Oct 21 (IANS) The Income Tax Department carried out searches on October 19 in the cases of two government contractors having premises...

Railways hits back at Cong, says claims of hiked fares ‘misleading’

New Delhi, Oct 21 (IANS) Hours after the Congress accused the Central government of hiking railway fares during the festive season, the Indian Railways...

85 mn human jobs likely to be displaced by machines by 2025: WEF Report

Displacement of around 87 million jobs is expected in the coming years due to shift from human labour to machines, a report by World...

Trending Showbiz

We still have much work to do in India market: Netflix

New Delhi, Oct 21 (IANS) Content streaming giant Netflix has reported slow growth in its third quarter (July-September period) despite the social distancing times,...

Vishal Bhardwaj to adapt Agatha Christie stories as film franchise

Mumbai, Oct 20 (IANS) Filmmaker Vishal Bhardwaj is developing a film franchise based on the works of famed author Agatha Christie. The series will...

‘Laxmmi Bomb’ highlights transgender community, says director Raghava Lawrence

Mumbai: The horror comedy Laxmmi Bomb, starring Akshay Kumar, is all set to release on November 9, and director Raghava Lawrence, who makes his Bollywood...

BARC India remains committed to its stakeholders

Mumbai, Oct 18 (IANS) Broadcast Audience Research Council (BARC) India on Saturday released a statement underlining the fact that the body aimed at ensuring...

Cinemas reopen: Day one sees dull start, but trade experts positive

BY NATALIA NINGTHOUJAM (IANS) Cinemas in several states including Delhi-NCR opened doors to patrons on Friday after seven months the turnout everywhere has been...

Will thwart all attempts to finish off Bollywood: Thackeray

Mumbai, Oct 16 (IANS) Breaking his silence, Maharashtra Chief Minister Uddhav Thackeray on Thursday made it clear that he would resist any moves to finish off...

Trending Sports

Dhawan’s record ton in vain as KXIP beat DC, stay float

Dubai, Oct 20 (IANS/GloFans) A resurgent Kings XI Punjab (KXIP) on Tuesday comprehensively defeated table toppers Delhi Capitals (DC) by five wickets, despite Shikhar Dhawan's...

This IPL CSK weren’t there, says Dhoni after loss to RR

Abu Dhabi, Oct 20 (IANS) Chennai Super Kings (CSK) captain Mahendra Singh Dhoni on Monday seemed resigned to his fate after a seven-wicket defeat...

Rajasthan win comfortably, stay afloat; Chennai pushed to brink

Abu Dhabi, Oct 19 (IANS) Former champions Rajasthan Royals (RR) gave themselves a new lease of life on Monday with a convincing seven-wicket win...

KXIP crowned kings after beating MI in 2nd Super Over

Dubai, Oct 19 (IANS/GloFans) In a most dramatic contest, comprising two Super Over deciders, Kings XI Punjab (KXIP) held their nerve to eke out a...

Dhawan’s maiden ton takes DC to five-wicket win over CSK

Sharjah, Oct 17 (IANS) Shikhar Dhawan scored his maiden T20 century while Axar Patel knocked off the required 17 runs off the last over...

ABD magic takes RCB to 7-wicket win over RR

Dubai, Oct 17 (IANS) Royal Challengers Bangalore (RCB) on Saturday beat Rajasthan Royals (RR) by seven wickets, thanks to an unbeaten 22-ball 55 from...

Latest Trending News In India

Now coal demand expected to rise in festive season, say Ind-Ra

New Delhi, Oct 21 (IANS) Coal demand is expected to pick up on a year-on-year basis as the end-user industries ramp-up capacity utilisations during...

Cabinet okays MoU between India and Nigeria on space cooperation

New Delhi, Oct 21 (IANS): The Union Cabinet chaired by Prime Minister Narendra Modi was on Wednesday apprised of a Memorandum of Understanding (MoU) signed...

ECI sets up panel to examine expenditure limit for candidates

New Delhi, Oct 21 (IANS) In view of upcoming elections, the Election Commission has constituted a two-member committee to examine the issues concerning expenditure limit...

Income Tax Department carries out searches in Bihar

New Delhi, Oct 21 (IANS) The Income Tax Department carried out searches on October 19 in the cases of two government contractors having premises...

Railways hits back at Cong, says claims of hiked fares ‘misleading’

New Delhi, Oct 21 (IANS) Hours after the Congress accused the Central government of hiking railway fares during the festive season, the Indian Railways...