TDS on Purchase of Goods u/s 194Q Interplay with TCS on collection from Sales u/s 206C(1H)

#CASansaar #TDS #TCS
Understanding proposed TDS on Purchase of goods u/s 194Q wef 01-07-2021 and existing TCS on collection from Sales u/s 206C(1H) discussed by CA. Rajiv Jain with CA. Vivek Khurana.
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• TDS on Purchase of Goo...
Government inserted new TDS Section 194Q which will be effective from 01-July-2021, which say Any person, being a buyer who is responsible for paying any sum to any resident (hereafter in this section referred to as the seller) for purchase of any goods of the value or aggregate of such value exceeding fifty lakh
Tax Deduction at Source (TDS) on purchase of goods.
Tax Collection at Source (TCS) on Sales of Goods,
TDS on Purchase of Goods u/s 194Q,
Section 194Q: TDS on Purchase of Goods Exceeding Rs. 50 Lakhs,
TDS on purchase of goods-New Section 194Q inserted ,
Budget 2021 - Tight regulatory reforms in TDS / TCS provisions,
Highlights of Budget 2021-22
Tax Deduction at Source (TDS) on purchase of goods,
New TCS Provisions on Sale of Goods under Section 206C(1H),
Practical FAQs on TCS on Sale of Goods,
Practical Cases on TCS on Sale of Goods Section 206C(1H),
CBDT Issues Guidelines And Clarifications For Applicability Of Provisions For TCS On Sale Of Goods,
#CASansaar #TDS #TCS #IncomeTax #Budget2021 #UnionBudget2021 #194Q #206C(1H)
DISCLAIMER :-
This Video is for the purposes of information / knowledge and shall not be treated as solicitation in any manner or of for any other purposes whatsoever.
It shall not to be used for any legal advice /opinion and shall not to be used to rendering any professional opinion. Viewers are advised to kindly go through to original Government publications / notifications and published case laws or judicial pronouncements.
The statements and opinions expressed in video are those of the speaker and do not necessarily reflect those of the CA Sansaar or any of its employees. CASansaar Team does not take any responsibility for the views of the Speaker.
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[@casansaarca]

Please don't forget to Like, Share and Subscribe, That's the minimum you can do to appreciate our efforts and boost our morale. Thanks in advance.

[@atul58]

Very good suggestions for FM. Both suggestions should be pressed by taxpayers to FM.

[@lakshmiprasunamedicalagenc1479]

Most of the doubtss are cleared.ur recommendation to govt are applaudable. Ramakrishna Rao

[@vipulmaru595]

बहुत ही अच्छा explanation

[@prateekjain2091]

One of the mindblowing session

[@gauravsharma8131]

Thanks, Rajiv ji

[@sanjaypathak4288]

Thanks Sir for sharing such a Knowledgeable Video...

[@PankajKumar-vn5nz]

Very Very Thanks Sir/s

[@chawdemramprasad9236]

Great sir, good teaching🙏

[@sureshkumarsalgia3176]

Very nice explanation

[@snehasishmohapatra7370]

Sir in the memorandum explaining the finance bill govt has clarified that incase of a transaction which comes under the purview of both TCS u/s 206C(1H) and TDS U/s 194Q then only TDS 194Q shall be applicable and not both TCS 206C(1H) and TDS 194Q.

[@sahibwr10]

Exactly

[@bonnechance9535]

Well explained sir. Really important amendment.

[@gauravgarg2363]

Is this section also applicable on electricity bill paid above 50 lacs ????

[@nitinkumarsariya8765]

Very nice

[@vaishaligupta3982]

Explained so good 👍

[@rakeshchopra898]

Whether TCS on sale will be applicable on sale of capital goods also

[@akd2023]

Very well explained Hope government listens

[@m.d.shibyshiby7923]

TDS was never applicable on supply contract, however now if the TDS is deducted on supply, can seller set off with over all annual tax liability

[@kapilbajaj7419]

Explained beautifully sir

[@jaganpreetsingh1842]

In case of sale of goods also has service part which is identifiable, so TCS has be deducted on goods part only, if single invoice has been issued. Similarly for TDS in case of purchase

[@DEEPKINRA]

Yes only on goods part

[@camujahidnawaz3579]

very well explained sir as expected ..

[@arunbhatia8869]

What about purchase of capital goods

[@ca.dr.gauravbhambri9899]

Thanks sir

[@durgav6701]

Sir, Please explain to this Transaction: If both the buyer & Seller are eligible for Section 194Q , At this point the seller raise the invoice with the TCS charges on the month July 2021 the what did the buyer need to do . He need to deduct TDS or not ? Are he need to ask seller to change the invoice or any other option

[@damodarvedantham6951]

vivek khurana sir please send a request proposal to fm on behalf of entire tax professionals ,that instead of introducing irritating provisions in gst and income tax , one single tax which covers 135 crore Indians except adhaanees and ambanees ,vijay malya,nirav modi (looters and deckoits) BBB TAX (triple b tax means birth in india,breathing in india,bread earning in india) no question of escaping a single living creature,even much more than late fees,interest and penalty collected under different taxes, they want a minimum tax starting from 12500 if an indian wants to file itr income exceeding 5 lacs because they have achieved under their ruling a per capita income rupees 5 lacs per indian on equal distribution of wealth never and ever seen world at large, sri guru charanam sharanam mahma

[@gbhattacharjee5284]

Sir, as per understanding tds TDS to be deducted on purchase price of goods, excluding GST. As tax on tax is bad in law

[@saubhagyayripathy5351]

Thanks Sir for the Explanation.

[@mohitagrawal2460]

Great explaination

[@Abhishekgupta-zl7qx]

Very Nice Explanation.

[@vijaykumarjain3222]

Thanks sir,sir if my purchase is more than 50 Lac form different supplier ,wheather I have to deduct tds for each supplier.please explain

[@rajivjain791]

Yes

[@jambukeswarabhavikatti6457]

Now onwards traders have to spend more time & money in compliance of rules rather than doing business.

[@DEEPKINRA]

Sad but true

[@bgdaiya]

Thanks. Nicely explained.

[@lakshayjoshi9947]

Great explanation sir 👍 you are good lecturer also

[@roamingvlog]

Complete wisdom

[@GaganDeepSingh-vk4cg]

Please make a short video on impact on Equalization levy after changes proposed in budget 2021 as it may impact my company where I am currently working.

[@Abhinavatchaurasia]

Very well explained

[@nikhilgoel2357]

1 query sir, when under 206 aa tax will be 5 % to be deducted. ( when buyer not having PAN or TDS number ?? )

[@rajivjain791]

PAN

[@ykpatel1]

Rate required to be deducted @20% or @5% u/s 206AA?

[@jyotiarora4162]

5% tds to be deducted in absence of pan

[@AjayGupta-lh5rp]

Thanks

[@Yogijihsi]

Charan sparsh sir...🙏

[@pandurangshinde5370]

Wel Don sir

[@aadityasharma1956]

informative discussion

[@parshavjain9177]

Is this applicable for import purchase as well?

[@rajivjain791]

No

[@hansamaheshwari7611]

If a person not deduct tcs as per 206(c)(1h) then 30%amount will be disallow in the tax audit or not?

[@rajivjain791]

No

[@ankitvijayvargia6340]

Tds including gst per deduct nai hoga shayd...sir please check.and not applicable wale 2nd condition me 206c(1h) agar lgta hai too 194q nai lgana hai...plz revert

[@ankitvijayvargia6340]

See CBDT circular no 13/2021 date 30.6.21

[@vivekkhurana4774]

🎉🎉🎉

[@mangeshsawant1653]

no confusion

[@caamitagrawal8910]

very informative session sir

[@sujeetbanerjeeca]

Well explained sir. 🙏

[@shahbaazkhan1069]

Thanks sir 🎉🎉

[@sumantanayak9960]

If previous year payment made during the current year then ?

[@rajivjain791]

TDS applicable

[@avasim2911]

Sir Hamare CA SALE pe 2 type ka Tcs lagwate hai ye Right hai Ek 0.75% aur dusra 0.075% Alag alga head ke andar Confusion hai Sir Ek he applicable hoga na? Apna valuable reply de Sir?

[@DEEPKINRA]

Ek hi hoga, bs percentage different hogi

[@PradeepKumar-zm4fp]

Sir is there separate TAN for TCS or TDS or single TAN will be there?

[@jyotiarora4162]

Single TAN

[@roohiafroze9386]

Sir,Is this individual purchase or aggregate purchases?

[@DEEPKINRA]

Aggregate

[@rajivjain791]

kzbin.info/www/bejne/bXy9lXuAgdWMi6c See this latest detailed video

[@shaileshchavda5135]

TCS U/S 206C(1H) is 0.075% applicable in F.Y.20-21

[@ShahzadKhan-qk2nn]

finely descrubed

[@Nehasharma-yy7fq]

Well explained sir

[@debiprasadpanda5807]

Sir, we are in trading business and our turnover exceeds 10 crore but we should not collect TCS from our buyers if their turnover exceeds 10 crore. in that case our buyer will deduct tds. The question is how will we know that whether the turnover of our buyer exceeds 10 crore or not ?

[@rajivjain791]

You have to make correspondence with each buyer to ensure whether they will deduct TDS u/s 194Q, act accordingly thereafter

[@harshmakharia2692]

Sir turnover for Previous Preceeding PY means PY 19-20 or 20-21 because for PY 20-21 still return is not filed.

[@rajivjain791]

FY 2020-2021

[@tasleemali25]

Sir how to know he have a turnover over the 10cr Pls explain

[@DEEPKINRA]

Last year audited statement

[@gbhattacharjee5284]

Another query, if I am making any payment against purchase, without having purchase invoice needs, attracts tds

[@rajivjain791]

Yes

[@budharmalkailashchand1797]

Sir app log kahte Han ki send your like and comments but you're not reply the comments

[@niteshsonavane6763]

Excellent sir 👏👌👍 gbu

[@ManishKumar-tr3xo]

My turnover exceed Rs 10 cr in F/Y 20-21. should I collect TCS from 1 Apr, 2021 from a particular party whose transaction was more then 50 lakh or I should wait till his transaction exceed 50 lakh in current F/Y

[@legallybound2021]

You have to make TCS as soon as the receipt of sales consideration exceeds Rs. 50 lakhs in the current year.

[@hasanraza9329]

agar meri last yr ki turnover 10 crore se bht kam h or is saal meri purchase 50 lakh se zyada ho gai ek party se to kya tds 194q charge hoga

[@rajivjain791]

No

[@saanvi08]

206A may not even come in picture. A person with 50L purchases will have GST no. And GST no is PAN based.

[@DEEPKINRA]

206AB or 206CCA, may do the damage

[@glownaturally1693]

Great sir🙏

[@heenagarg5474]

Is 194q applicable on capital goods or purchase of fixed assets also?

[@DEEPKINRA]

Applicable

[@Ladoranisarkar]

Thnx sir 😊👍

[@Eeevlog]

Sir can you help me to apply gst for e-commerce???

[@mrgstconsultancy8592]

You need a new registration for selling on e-com

[@Eeevlog]

@@mrgstconsultancy8592 yes

[@UmeshKumar-rb6mu]

🙏

[@AjayPC1985]

Sir/Ma'am, There are many videos on 194Q and 206C 1H on you tube but every has different opinions and my confusions are as below. 1. 50 lakh limit is through total invoice value or Basic value of Purchase or Sale for both sections? 2. Goods means only Traded goods or including Capital goods also for both sections? 3. TDS and TCS will be applicable on BASIC value or GROSS value?

[@ganeshkamath5927]

On what value we have deduct TDS??... Including or excluding Gst???... With reference to section

[@finosper.in_]

with gst ... on safer side. section does not specify anything on this

[@budharmalkailashchand1797]

Sir I trading sugar & purchased from sugar mill, we paid payment in advance than mill supply sugar & charged tcs Pls. clear karne ki mujhe TDS deducte karke payment karne thi ya nahi Please share your valuable reply

[@keyurparikh1406]

Similar is our case at petrol pump . We pay in advance to oil companies to get fuel and oil companies are deducting TCS from 1st Oct. Please specify whether as a buyer we need to deduct tds from oil companies

[@riteshbaheti7031]

It's true law makers are fool. They should keep only one provision not both as it creat lot confusion 👍

[@sitaramkurella3941]

💐💐💐💐

[@keyurparikh1406]

Penalty under section 40 should be removed for betterment of buisness community

[@mustafakabir143]

User:ZScout370

[@santoshbansod3996]

Thanks Sir

[@kirtidhirajlal2908]

Sir, can u clarify if the purchase threshold of Rs 50 lakhs is from each supplier or cumulative from all supplier.

[@rajivjain791]

Each supplier

[@kirtidhirajlal2908]

Thank you very much Sir

[@panchaltirth3880]

Thank you sir