TCS- Tax Collected At source is the income tax collected by sellers in India from buyers on the sale of certain items above the price of the decided amount. Considering that, this tax is taken above the price of Car Rs. 10 lakh & jewelry above Rs. 5 lakh, scrap, tendu leaves, and other goods under section 206C of the Act, 1961.
Tax Collected at Source is a tax payable by a seller which he collects from the buyer at the time of sale of goods.
If the buyer purchase 10,000 Rs worth of scrap, then he has to give 10,100 Rs to the seller as 10,000 for scrap + 100 for TCS, as the buyer is paying Rs. 100 as TCS to the govt.
All individuals (except for the below organization or people) are classified as buyers for TCS –
These subsequent are defined as Sellers –
Also, See: TDS Return
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