TCS Filing:

Tax collection at source (TCS) is an additional sum collected as tax by a seller of specified products from the customer at the time of sale & deposited to the government account over and above the sale price. According to the Income Tax Act of 1961, some people, known as sellers, are required to collect a set percentage of tax at the time of receipt of funds from their Buyers or at the time of debiting the buyer's account, whichever is earlier.

 

 Section 206C of the Income Tax Act specifies the types of commodities on the sale tax that must be collected from the purchasers.

 

The person collecting tax has to obtain Tax Collection Account Number (TAN) and quote it in all challans, certificates and returns, and all other documents pertaining to the transactions.

It is mandatory for all collectors of tax to furnish Quarterly TCS returns online.

 

TCS Exemptions-

Tax collection at source is exempt in the following cases:

 

a. When the eligible goods are used for personal consumption

b. The purchaser buys the goods for manufacturing, processing, or production and does not trade those goods.

 

 

TCS Payment Due Date – 7th of the following month in which TCS is Deducted.

 

TCS Return DueDate – 15th of the following month succeeding the applicable quarter.

TAX BARR gets all your TCS filed efficiently with our expert team to avoid any penalities from time to time.