#Section 194Q

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🔥 Tally Prime: How to Record TDS Under Section 194Q on Purchase | Comple...

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What’s New In TallyPrime 5.0 ?

TallyPrime 5.0 introduces key features that simplify business operations, focusing on GST compliance, automated TDS calculations, improved payment management, and plug-in integration. These updates save time, reduce errors, and enhance overall efficiency. Antraweb Technologies, a trusted partner, offers expert support to help businesses fully leverage these new capabilities.

TallyPrime 5.0 brings significant improvements to business management software, particularly in accounting and compliance. Enhanced GST compliance allows direct uploads and downloads of GST returns within the software, simplifying the filing process and reducing errors. The update also introduces automated TDS calculations under Section 194Q, ensuring accurate deductions without manual intervention.

Additionally, TallyPrime 5.0 includes Tally Plug-Ins, such as Tally-Capital, which enable users to manage financial tasks like checking credit scores and applying for loans directly within the software. Improved payment management features, like sorting pending bills by due dates or balances, help businesses avoid late fees and manage cash flow more effectively.

Upgrading to TallyPrime 5.0 offers substantial benefits for business efficiency. Antraweb Technologies, with decades of experience as a leading Tally partner, is ready to assist with migration, customization, and training. Contact Antraweb Technologies today to maximize the potential of TallyPrime 5.0 and explore their comprehensive range of products and services like Tally on Cloud, Smart Backup++, and Excel to Tally Integration for added efficiency and security.

See how Antraweb Technologies can support and enhance your business with TallyPrime 5.0 experience. Contact us today to get the full potential of Tally.

BLOG LINK: What’s New in TallyPrime 5.0 ?

WEBSITE LINK: https://www.antraweb.com/

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Section 194Q:- TDS on the purchase of goods

Under this blog we are going to understand a new section inserted by government to cover the transactions of purchase of goods under the purview of TDS provisions. This article covers the briefing of Section 194Q, its applicability, transactions covered under, rates and important due dates, other important points and relative practical examples. The government inserted Section 194Q to the Income Tax Act, 1961 in the Finance Act of 2021 and becomes applicable from July 1, 2021. The government’s motive in enacting this law is to have a check on and create a trail of high-value sales and purchases of goods. There are several other provisions of various sections under the Act that talk about the deduction of tax at source on various transactions; however, the deduction of tax on the sale of goods has been made applicable by introducing the Section 194Q into the Income Tax Act, 1961.

New Regulations According to this section, a buyer conducting a transaction of purchase of goods shall deduct the TDS of the seller with whom the transaction of purchase of goods has been conducted, if the products purchased by the buyer from that seller exceeds an annual value of Rs.50,00,000/-.  Let’s go through an example to understand this, suppose if you buy goods from ‘X’ and your annual purchases from ‘X’ is more than Rs.50,00,000/-, then you must deduct TDS on purchases above the amount of Rs.50,00,000/- limit. Suppose if you have bought goods amounting Rs. 60,00,000/-, the TDS should be deducted on the amount Rs. 10,00,000/- i.e., (Rs. 60,00,000- Rs. 50,00,000) considering the threshold limit of Rs. 50,00,000/-

Who is obligated to deduct TDS? Any person who buys goods from any resident seller (deductee) and the value of those goods is more than the threshold of Rs.50,00,000/-. However, the following persons are not obliged to deduct TDS:

New business —This section does not apply to the year the business is formed or incorporated.

Turnover limit – This section will not apply to person who had a gross receipts/ turnover amounting less than Rs. 10 crores in the financial year immediately preceding the year in which goods are purchased.

Non-resident — Provisions for this section do not apply to non-resident buyers. However, if the purchaser has a Permanent Establishment (PE) in India, this section may apply.

What kind of transactions would not be covered under this section?

Tax is deductible under any of the provisions of this act.

Tax is collectible under the provisions of section 206C other than a transaction to which sub-section (1H) of section 206C applies.

Purchase deals amounting less than Rs 50 Lacs.

Securities and commodity transactions that are conducted via recognised stock exchanges and clearing organisations.

Imported goods :- It is evident from the provision that a buyer is only liable to deduct TDS on sum payable to resident sellers only. Therefore, any goods purchased from the seller located outside India shall remain out of the provisions of this section.

Due dates for depositing tax liability: TDS to be deducted earlier of the amount credited or paid to the seller. Under section 194Q, TDS shall be deposited by dates as follows:

For period April- February :- 7th of the subsequent month

For month of March :- 30th April

Rate of TDS TDS is to be calculated at a rate of 0.1% on the amount exceeding the amount of Rs 50 lakh in a financial year from a seller from whom the buyer has purchased goods amounting more than Rs 50 lakh. However, in case the seller is not holding a valid PAN, the rate of tax deduction shall be 5% instead of 0.1%.

Steps for calculation of TDS

Purchase above Rs 50 lakhs in a financial year from a seller

TDS to be deducted after deducting the threshold limit of Rs 50 lakh from the total value of purchase.

The threshold limit is Rs 50 lakh per seller, which means a seller-wise deduction in every financial year.

To conclude the understanding of Section 194Q, let us consider a practical example to understand how the TDS under this section shall be calculated:- Suppose, if a buyer has purchased goods amounting of Rs 80 lakh from a seller, then firstly he has to deduct Rs 50 lakh from it as an initial deduction provided under Section 194Q and then calculate the TDS on the remaining amount of Rs 30 lakh at 0.1%. So, the TDS to be deducted in this case would be Rs 3,000.

TDS= (80,00,000 – 50,00,000)*0.1%= Rs 3,000 With the reading of this blog, we got briefed about the provisions of Section 194Q. We understood the nature of transactions covered under this section, on whom the applicability of this section arises, how the value of transactions shall be driven and the calculation of TDS shall be made, and when the TDS deducted should be deposited.

Written by – Arun Kumar

At AJSH, we assist our clients with various income tax compliances, including income tax assessments, ITR filings, tax advisory, TDS matters other related services by providing them adequate support and guidance from our end. If you have any questions or wish to know more about Section 194Q:- TDS on the purchase of goods , kindly contact us.

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TDS On Purchase of Goods under section 194Q- On 30th June Government has announced that from 1 July 2021 TDS will be applicable under section 194q on the purchase of goods. To know the percentage of deduction on a certain amount read the blog

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GUIDELINES FOR APPLICABILITY OF SECTION 194Q

GUIDELINES FOR APPLICABILITY OF SECTION 194Q

 TDS ON PURCHASE OF GOODS In the Budget 2021-22, a new section 194Q introduced which will be affected from 01 July 2021. Article Contents What is section 194Q & Who is liable?Applicability of section 194Q with ExamplesTime of Deduction of TDS under Section 194QException to TDS Deduction under Section 194Q:TDS Rate under Section 194Q of Income Tax Act, 1961Non-compliance of section 194QCross…

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TCS on Purchase

Record TCS on Purchase of Taxable Stock Items TCS on Purchase – As per the TCS rules, the TCS amount paid on purchases is not required to be shown in the TCS returns. Hence, while recording purchases made by paying TCS, you need to use the tax ledger created under Duties & Taxes, with Type of Duty/Tax as Others. On using this tax ledger: The tax amount will be auto-calculated as per the tax rate…

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MBG | Applicability of New Section 194Q of Income Tax Act (ITA), 1961

The Finance Act, 2021, inserted Section 194Q in the Income Tax Act, 1961 (ITA) for deduction of tax at Source (TDS) on purchase of Goods at the rate of 0.1% of the purchase value exceeding INR 5 million. Section 194Q provides applicability of TDS by person (Buyer) responsible for paying any sum to resident (Seller) for purchase of goods subject to certain conditions with effect from July 1, 2021.

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New TDS provisions on Purchase of Goods [Section 194Q]

A buyer shall deduct tax under this provision from the value of goods purchased by it if the following conditions are satisfied:

His total sales, gross receipts, or turnover from the business carried on by him exceeds Rs. 10 crores during the financial year immediately preceding the financial year in which he purchases the goods,

There is a purchase of goods from a resident person;

Value or aggregate value of Goods purchased exceeds Rs. 50 lakhs in any previous year;

The buyer should not be on the list of persons excluded from the provision for deduction of tax; and

No tax is deductible or collectible under any other provision except Section 206C(1H).

Buyer shall deduct tax at the rate of 0.1% of the purchase value exceeding Rs. 50 lakhs at the time of credit of such sum to the account of the seller or at the time of payment thereof by any mode, whichever is earlier. The tax shall be deducted even if the sum is credited to the ‘Suspense Account’.

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Section 194Q:- TDS on the purchase of goods

Under this blog we are going to understand a new section inserted by government to cover the transactions of purchase of goods under the purview of TDS provisions. This article covers the briefing of Section 194Q, its applicability, transactions covered under, rates and important due dates, other important points and relative practical examples. The government inserted Section 194Q to the Income Tax Act, 1961 in the Finance Act of 2021 and becomes applicable from July 1, 2021. The government’s motive in enacting this law is to have a check on and create a trail of high-value sales and purchases of goods. There are several other provisions of various sections under the Act that talk about the deduction of tax at source on various transactions; however, the deduction of tax on the sale of goods has been made applicable by introducing the Section 194Q into the Income Tax Act, 1961.

New Regulations According to this section, a buyer conducting a transaction of purchase of goods shall deduct the TDS of the seller with whom the transaction of purchase of goods has been conducted, if the products purchased by the buyer from that seller exceeds an annual value of Rs.50,00,000/-.  Let’s go through an example to understand this, suppose if you buy goods from ‘X’ and your annual purchases from ‘X’ is more than Rs.50,00,000/-, then you must deduct TDS on purchases above the amount of Rs.50,00,000/- limit. Suppose if you have bought goods amounting Rs. 60,00,000/-, the TDS should be deducted on the amount Rs. 10,00,000/- i.e., (Rs. 60,00,000- Rs. 50,00,000) considering the threshold limit of Rs. 50,00,000/-

Who is obligated to deduct TDS? Any person who buys goods from any resident seller (deductee) and the value of those goods is more than the threshold of Rs.50,00,000/-. However, the following persons are not obliged to deduct TDS:

New business —This section does not apply to the year the business is formed or incorporated.

Turnover limit – This section will not apply to person who had a gross receipts/ turnover amounting less than Rs. 10 crores in the financial year immediately preceding the year in which goods are purchased.

Non-resident — Provisions for this section do not apply to non-resident buyers. However, if the purchaser has a Permanent Establishment (PE) in India, this section may apply.

What kind of transactions would not be covered under this section?

Tax is deductible under any of the provisions of this act.

Tax is collectible under the provisions of section 206C other than a transaction to which sub-section (1H) of section 206C applies.

Purchase deals amounting less than Rs 50 Lacs.

Securities and commodity transactions that are conducted via recognised stock exchanges and clearing organisations.

Imported goods :- It is evident from the provision that a buyer is only liable to deduct TDS on sum payable to resident sellers only. Therefore, any goods purchased from the seller located outside India shall remain out of the provisions of this section.

Due dates for depositing tax liability: TDS to be deducted earlier of the amount credited or paid to the seller. Under section 194Q, TDS shall be deposited by dates as follows:

For period April- February :- 7th of the subsequent month

For month of March :- 30th April

Rate of TDS TDS is to be calculated at a rate of 0.1% on the amount exceeding the amount of Rs 50 lakh in a financial year from a seller from whom the buyer has purchased goods amounting more than Rs 50 lakh. However, in case the seller is not holding a valid PAN, the rate of tax deduction shall be 5% instead of 0.1%.

Steps for calculation of TDS

Purchase above Rs 50 lakhs in a financial year from a seller

TDS to be deducted after deducting the threshold limit of Rs 50 lakh from the total value of purchase.

The threshold limit is Rs 50 lakh per seller, which means a seller-wise deduction in every financial year.

To conclude the understanding of Section 194Q, let us consider a practical example to understand how the TDS under this section shall be calculated:- Suppose, if a buyer has purchased goods amounting of Rs 80 lakh from a seller, then firstly he has to deduct Rs 50 lakh from it as an initial deduction provided under Section 194Q and then calculate the TDS on the remaining amount of Rs 30 lakh at 0.1%. So, the TDS to be deducted in this case would be Rs 3,000.

TDS= (80,00,000 – 50,00,000)*0.1%= Rs 3,000 With the reading of this blog, we got briefed about the provisions of Section 194Q. We understood the nature of transactions covered under this section, on whom the applicability of this section arises, how the value of transactions shall be driven and the calculation of TDS shall be made, and when the TDS deducted should be deposited.

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Challenge — TDS Changes in Budget 2021

Last year, the Government implemented TCS provision u/s 206C(1H) for `Seller of Goods’ on Receipts/advance from/for Sales of Goods, exceeding Rs. 50 Lakhs as consideration, during a financial year. “Seller” means a person whose total sales, gross receipts, or turnover from the business carried on by him exceeded ten crore rupees during the financial year immediately preceding the financial year in which consideration/advance exceeding Rs. 50 Lakh are received.

There were instances, where Seller Turnover is less than 10 Crore but his receipts from sales of goods to buyers were exceeding Rs. 50 Lakh. Therefore, there was no obligation to collect TCS from the seller. To resolve this situation, the Government has come up with a similar type of provision for Purchaser(Buyer) via TDS applicability u/s 194Q.

Simplified:

CASE 1:

ABC ltd (Turnover >10 cr) buys materials from Supplier Ram & Co (purchases exceeded 50 lacs in FY 2021–22) deducts TDS (U/s 194Q) @0.1% (PAN available, ITR confirmation for preceding 2 years)

CASE 2:

ABC Ltd (Turnover >10 cr) sells material to Customer Dhawan Enterprises (Turnover <10 crores) exceeding 50 lacs will have to collect TCS u/s 206C(1H) on receipt of payment.

Requirement:

The recent development in withholding tax provisions introduced vide Finance Act, 2021 (under the Income Tax Act) and as applicable from 1st July 2021. Deduction of Tax at Source (TDS) under Section 194Q.

Sec 194Q requires a person whose turnover exceeds 10 crores INR during the preceding Financial year (FY 2020–21)

To deduct tax at source (TDS) on purchase of Goods

TDS @ 0.1%

On Transactions exceeding 50,00,000 INR during FY 2021–22

Note:

A credit of TDS can be claimed while filing an Income Tax return

Amount deducted and deposited with Tax Authorities would appear in Form 26AS

TDS under Sec.194Q is not applicable in case TDS is deducted u/s 194c or TCS is levied on the sale of scrap

Deduction of TDS at a higher rate under Section 206AB — Applicable to the supplier of goods and/ services which are subject to TDS provisions

The Finance Act 2021 has introduced a new provision relating to withholding tax (Section 206AB) which provides for a higher withholding tax rate in case the vendor to whom the payment is to be made has not filed his income tax return for the previous two financial years within the prescribed statutory timelines. This new provision is applicable from 1st July 2021 and will apply to any invoice issued by you on or after 1 July 2021.

As per new provisions, withholding tax on certain payments to ‘specified persons’ to be higher of the following:

(a) Twice the rate specified; or (b) Twice the rates in force; or © Five percent

Therefore, if you have not filed an income tax return for the two preceding years, payments against your invoices will attract higher withholding tax.

Below is the illustrative table of TDS rates from 1st July 2021 onwards for reference:

Applicability of section 194Q with Examples:

Seller’s Turnover: Rs. 9 Crores Buyer’s Turnover: Rs. 15 Crores Receipt or Payment for sale or purchase of goods in the previous year: Rs. 55 lakhs

Taxability:

Buyer’s Turnover is more than Rs. 10 Crores Taxable amount: Rs. 5 lakhs ( Rs. 55 lakhs-Rs.50 lakhs) TDS u/s194Q : 0.1% on Rs. 5* lakhs TCS u/s 206C(1H): not applicable as the Seller’s turnover is less than 10 Crores.

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Seller’s Turnover : Rs. 15 Crores Buyer’s Turnover : Rs. 9 Crores Receipt or Payment for sale or purchase of goods in the previous year: Rs. 55 lakhs

Taxability:

Buyer’s Turnover is less than Rs. 10 Crores Seller’s Turnover is more than Rs. 10 Crores Taxable amount: Rs. 5 lakhs ( Rs. 55 lakhs-Rs.50 lakhs) TDS u/s194Q: Not applicable TCS u/s 206C(1H): 0.1% on Rs. 5 lakhs**.

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Seller’s Turnover : Rs. 15 Crores Buyer’s Turnover : Rs. 15 Crores Receipt or Payment for sale or purchase of goods in the previous year: Rs. 55 lakhs

Taxability:

Solution — TCS & TDS handling in Tally

TCS (Tax Collected at Source) is the tax that a seller collects from the buyer during the sale of specific goods under provision 206C, or any other goods on the basis of realization. TallyPrime not only supports the latest budget changes for TCS but also provides you with a comprehensive TCS solution for your business needs. You now have the flexibility to calculate TCS either after receiving the payment or during billing.

We at Nandini Infosys are ready with a solution to handle your 194Q provisions and update the ledger master so that you can manage the TDS deductions as applicable as per the act.

You can also download the sample declaration format to be collected from your suppliers.

Download TDS 194Q Declaration Form

Download TDS 194Q Undertaking Form

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CBDT CIRCULAR ON APPLICABILITY OF TDS ON PURCHASE OF GOODS & TCS ON SALE OF GOODS

The newly introduced section 194Q provides that every buyer with turnover exceeding Rs. 10 crore in the preceding year shall be liable to TDS @0.10% on the purchase amount exceeding Rs. 50lakhs from the seller.In addition to section 194Q, there is also 206C(1H) which provides that every seller with turnover exceeding Rs. 10 Cr in the preceding year shall be liable to collect TCS from the buyer @ 0.10% on the sale consideration exceeding Rs. 50 Lakh.

New law and provision comes with a new set of issues and controversy.Here were few controversial issues which made compliance with this newly introduced provision difficult. Finally, CBDT has issued one more guideline in the form of Circular No. 20 of 2021, dated 25/11/2021 which will put to rest some of the controversy. Let us know about it:

Advance Payment & Adjustment of GST on advance payment while doing TDS

(a ).It has already been clarified that TDS U/s 194Q is not required on the GST component if the same is indicated separately in the invoice. However, if the buyer makes the payment to the seller in advance against sale of goods then the TDS liability arises at the time of such advance payment.

(b).There were doubts with regard to applicability of TDS on such advance as there is no separate & independent element of GST on such advance payment:-

1. It has now been clarified that TDS in such cases has to be done on the amount credited to the account of the buyer without including such GST. In short, in case TDS is to be done on advance payment (i.e., receipt of money before billing) then the TDS shall be required to be done on the whole amount as it is not possible to identify that payment with GST component of the amount to be invoiced in future.

2.Further, adjustment of TDS in case of purchase return has also been provided.

No TDS on other taxes also:-

(a). CBDT vide circular no. 13 of 2021 has already clarified that TDS U/s 194Q will not be applicable in respect of GST components of the invoice.

(b).However, there were doubts about the applicability of the GST in case of goods which are not within the purview of GST such as petroleum products. Various levies like VAT, Excise duty, sales tax etc. are charged in such cases.It has been clarified that in case of purchase of goods which are not covered by GST, components of VAT/Sales tax/Excise duty/CST as indicated separately in the invoice will not be liable for TDS u/s 194Q.

(c ).It has been further clarified that if TDS is done on payment basis then the TDS would be required to be done on the whole amount as it will not be possible to identify the payment with VAT/Excise duty/Sales tax/CST component to be invoiced in the future.

Applicability of TDS under section 194Q  if the goods purchased are used in the Manufacturing Process:

(a). It has been further clarified that if TDS is done on payment basis then the TDS would be required to be done on the whole amount as it will not be possible to identify the payment with VAT/Excise duty/Sales tax/CST component to be invoiced in the future.

(b). There were divergent views on applicability of TDS U/s 194Q in case buyer furnishes the above declaration and so seller doesn’t do TCS at the time of billing. It has been clarified that in such a situation, the buyer would be liable to do TDS U/s 194Q if all other conditions specified therein are fulfilled.

TDS in case of department of Government not being public sector undertaking or corporation

(a). It has been clarified that in case of any Department of the Government which is not carrying out any business or commercial activity, the primary requirement for being considered as a ‘buyer’ will not be fulfilled. Accordingly, such an organization will not be liable to deduct tax on the goods so purchased by them. However, if the said department is carrying on business/commercial activity then the provision of section 194Q of the Act shall apply subject to the fulfillment of all other conditions.

(b). On an issue as to whether any department of the Government may be considered as a ‘seller’, it has been clarified that central Government or State Government shall not be considered as ‘seller’ for the purposes of section 194Q, and hence no TDS is required to be done by the buyer in cases where any Department of Central or State Government are seller of goods.

(c). In connection with above, it is further clarified that any other person, such as a Public sector Undertaking or corporation established under Central or State Act or any other such body, authority or entity, shall be required to comply with the provisions of section 194Q and TDS shall be deducted accordingly.

Conclusions:

Trade & Industries were expecting that the new TDS & TCS provisions in the form of section 194Q & section 206C(1H) may be scrapped in the coming Budget – 2022 as it has added a lot of compliance burden on all the taxpayers. However, the present clarification by the CBDT has signaled that both these provisions are here to stay and taxpayers would be required to comply with it.

Readers may forward their feedback & queries at contact@wealthfunds.com or contact us 8860801116..

[masllp]

Section 194Q:- TDS on the purchase of goods

Under this blog, we are going to understand a new section inserted by the government to cover the transactions of purchase of goods under the purview of TDS provisions. This article covers the briefing of Section 194Q, its applicability, transactions covered under, rates and important due dates, other important points, and relative practical examples. The government inserted Section 194Q to the Income Tax Act, 1961 in the Finance Act of 2021, and becomes applicable from July 1, 2021. The government’s motive in enacting this law is to check on and create a trail of high-value sales and purchases of goods. There are several other provisions of various sections under the Act that talk about the deduction of tax at source on various transactions; however, the deduction of tax on the sale of goods has been made applicable by introducing Section 194Q into the Income Tax Act, 1961.

New Regulations According to this section, a buyer conducting a transaction of purchase of goods shall deduct the TDS of the seller with whom the transaction of purchase of goods has been conducted if the products purchased by the buyer from that seller exceeds an annual value of Rs.50,00,000/-. Let’s go through an example to understand this, suppose you buy goods from ‘X’ and your annual purchases from ‘X’ is more than Rs.50,00,000/-, then you must deduct TDS on purchases above the amount of Rs.50,00,000/- limit. Suppose you have bought goods amounting to Rs. 60,00,000/-, the TDS should be deducted from the amount Rs. 10,00,000/- i.e., (Rs. 60,00,000- Rs. 50,00,000) considering the threshold limit of Rs. 50,00,000/-

Who is obligated to deduct TDS? Any person who buys goods from any resident seller (deductee) and the value of those goods is more than the threshold of Rs.50,00,000/-. However, the following persons are not obliged to deduct TDS:

New business — This section does not apply to the year the business is formed or incorporated.

Turnover limit — This section will not apply to persons who had gross receipts/ turnover amounting to less than Rs. 10 crores in the financial year immediately preceding the year in which goods are purchased.

Non-resident — Provisions for this section do not apply to non-resident buyers. However, if the purchaser has a Permanent Establishment (PE) in India, this section may apply.

What kind of transactions would not be covered under this section?

Tax is deductible under any of the provisions of this act.

Tax is collectible under the provisions of section 206C other than a transaction to which sub-section (1H) of section 206C applies.

Purchase deals amounting to less than Rs 50 Lacs.

Securities and commodity transactions are conducted via recognized stock exchanges and clearing organizations.

Imported goods:- It is evident from the provision that a buyer is only liable to deduct TDS on the sum payable to resident sellers only. Therefore, any goods purchased from the seller located outside India shall remain out of the provisions of this section.

Due dates for depositing tax liability: TDS is to be deducted earlier from the amount credited or paid to the seller. Under section 194Q, TDS shall be deposited by dates as follows:

For the period April- February:- 7th of the subsequent month

For the month of March:- 30th April

Rate of TDS TDS is to be calculated at a rate of 0.1% on the amount exceeding the amount of Rs 50 lakh in a financial year from a seller from whom the buyer has purchased goods amounting to more than Rs 50 lakh. However, in case the seller is not holding a valid PAN, the rate of tax deduction shall be 5% instead of 0.1%.

Steps for calculation of TDS

Purchase above Rs 50 lakhs in a financial year from a seller

TDS is to be deducted after deducting the threshold limit of Rs 50 lakh from the total value of purchase.

The threshold limit is Rs 50 lakh per seller, which means a seller-wise deduction in every financial year.

To conclude the understanding of Section 194Q, let us consider a practical example to understand how the TDS under this section shall be calculated:- Suppose, if a buyer has purchased goods amounting to Rs 80 lakh from a seller, then firstly he has to deduct Rs 50 lakh from it as an initial deduction provided under Section 194Q and then calculate the TDS on the remaining amount of Rs 30 lakh at 0.1%. So, the TDS to be deducted in this case would be Rs 3,000.

[delhi-7a]

TDS On Purchase of Goods - On 30th June Government has announced that from 1 July 2021 TDS will be applicable under section 194q on the purchase of goods. To know the percentage of deduction on a certain amount read the blog.

[thinkwithlogic]

Guidelines under section 194Q of the Income-tax Act, 1961 (Income Tax Latest Updates)

Guidelines under section 194Q of the Income-tax Act, 1961 (Income Tax Latest Updates)

CBDT releases Guidelines under section 194Q of Income-tax Act, 1961 vide Circular No. 13 of 2021 | Dated: 30th June, 2021. Section 194Q takes effect from 1st day of July, 2021. F. No. 370142/26/2021-TPL Government of India Ministry of Finance Department of Revenue (Central Board of Direct Taxes) Circular No. 13 of 2021 | Dated: 30th June, 2021 Sub.: Guidelines under section 194Q of the…

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Union Budget 2022: Clarification required under section 194Q

Union Budget 2022: Clarification required under section 194Q

The Finance Act, 2021 introduced a new section 194Q in the Income-tax Act, 1961 (the Act) with effect from 01July 2021.The Finance Act, 2021 introduced a new section 194Q in the Income-tax Act, 1961 (the Act) with effect from 01July 2021.taxmann.com Latest ArticlesRead More

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The Central Board of Direct Taxes (CBDT) vide Notification No. 107/2021 - Income Tax specified that Air India Assets Holding Limited shall not be considered as ‘buyer’ for the purpose of section 194Q