TCS Rate applicable for Financial Year 2021-22

Reetubaraik | Mar 2, 2021 | Views 97231

TCS Rate applicable for Financial Year 2021-22

TCS Rate applicable for Financial Year 2021-22

You May Also Refer: TDS Rate applicable for Financial Year 2021-22

Tax Collected at Source (TCS) is also one of the important compliance for Income tax.

Tax Collected at Source is what a seller collects from the buyer while selling a specified category of goods. The Tax Collected at source (TCS) varies for all the category of ggods. TCS that a seller collects from the buyer needs to be deposited with the government. All the goods on which the seller levies tax from the buyer are governed under the purview of the Sec. 206C of the Income Tax Act.

There are various sections in Income Tax Law, which specify different TCS rates, nature of payment & its threshold limits for TCS.

TCS Rate Chart for Financial Year 2021-22

SECTION 206C (1)
TCS Deposit Challan Code Goods & Services liable to TCS TCS Rate (%)
6CA Alcoholic liquor for human consumption 1
6CB Timber obtained under Forest lease 2.5
6CC Timber obtained by any mode other than under a forest lease 2.5
6CD Any other forest produce not being timber or tendu leaves 2.5
6CE Scrap 1
6CI Tendu Leaves 5
6CJ Minerals, being coal or lignite or iron ore 1
6CK Bullion &Jewelry Omitt. by Finance Act 2017 (w.e.f. 1-4-2017)
SECTION 206C (1C)
6CF Parking Lot 2
6CG Toll Plaza 2
6CH Mining & Quarrying 2
SECTION 206C (1F)
6CL Motor Vehicle (any mode of payment)

(Seller, who receives any amount as consideration for sale of a motor vehicle of the value exceeding 10 lakh Rupees)

1
SECTION 206C (1E)
6CM Cash Sale of any goods (other than bullion/jewelry) Omitt. by Finance Act 2017 (w.e.f. 1-4-2017)
6CN Providing any services (other than Ch-XVII-B) Omitt. by Finance Act 2017 (w.e.f. 1-4-2017)
SECTION 206C (1G)
6CO Overseas Tour Program Package

(Every person being a seller of an overseas tour program package, who receives any amount from a buyer, being the person who purchases such package)

5

(TCS in case of Non-Furnishing of PAN/Aadhar 10%)

6CP Remittance under LRS for education loan taken from financial institution mentioned under section 80E

(Amount or aggregate of the amounts in excess of 7 lakh rupees remitted by the buyer in a financial year, if the amount being remitted out is a loan obtained from any financial institution as defined in section 80E, for the purpose of pursuing any education)

0.50
6CQ Remittance under LRS

(for purpose other than for purchase of overseas tour package or for education loan taken from financial institution mentioned under section 80E) (Person, being an authorised dealer, who receives an amount/aggregate of amounts exceeding 7 Lakh, for remittance out of India from a buyer, being a person remitting such amount out of India under the Liberalised Remittance Scheme of the Reserve Bank of India)

5

(TCS in case of Non-Furnishing of PAN/Aadhar 10%)

SECTION 206C (1H)
6CR Sale of Goods

Every person, being a seller, who receives any amount as consideration for sale of any goods of the value or aggregate of such value exceeding 50 lakh rupees in any previous year, other than the goods being exported out of India or goods covered in sub-section (1) or sub-section (1F) or sub-section (1G)

Budget Update
In case of transaction on which TDS u/s.194Q is applicable w.e.f 01/07/2021, then TCS u/s.206C(1H) not applicable

0.1

(TCS in case of Non-Furnishing of PAN/Aadhar 1%)

SECTION 206CCA
Higher Rate of TCS for Non Filer of ITR

Proposed section 206CCA of the Act would apply on any sum or amount received by a person (herein referred to as collectee) from a specified person. The proposed TCS rate in this section is higher of the following rates –

  • twice the rate specified in the relevant provision of the Act; or
  • the rate of 5%

Source: ICWA



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