How do I create a Form 27C?

TCS Form 27C Details and Documents Required Part I of the document needs to be filled in with the details of the buyer, complete with address details, PAN number, list of goods being procured and the purpose towards which the purchase is intended for.

What is Form 27D TCS?

Form 27D is a TCS Certificate certifying the amount of TDS deducted, Nature of Payments & the TDS Payments deposited with the Income Tax Dept. Form 27D downloaded from TRACES are considered as valid TCS certificates, as per CBDT circular 04/2013 dated 17th April 2013.

What is TCS under section 206C?

The government has introduced a new section 206C (1H) through Finance Act 2020 to extend the TCS provisions to the seller of goods. As per this provision, a seller whose turnover is above Rs 10 crore is required to collect tax, when he receives more than Rs 50 lakh from one buyer during a financial year.

What is Section 194Q and 206C 1H?

Finance Act, 2021 introduced provisions relating to TDS on purchase of goods u/s 194Q to cover those transactions which were left uncovered by section 206C(1H). These amendments have increased the compliance burden for the taxpayer as it impacts the most basic transactions of purchase and sale of goods.

Who is eligible for Form 27C?

Declaration in Form 27C can be made by the buyer who is a resident in India, and uses purchased goods for the manufacturing, processing or production of goods/ article. Buyer gives a declaration, in duplicate in Form 27C. A copy of the declaration has to be given to the person collecting tax.

What is Form 27 A in TDS?

Form 27A is a summary of e-TDS/TCS return (Form 24Q, 26Q, 27Q & 27EQ), which contains control totals of ‘Amount Paid’, ‘Income tax deducted at source’& ‘Tax Deposited (Total challan amount)’. The control totals mentioned on Form 27A should match with the corresponding control totals in e-TDS/TCS return file.

What is form 27EQ and 27D?

Forms 24Q, 26Q, 27Q, 27EQ, 27D are all income tax return forms to declare Tax Deducted at Source (TDS) and have to be submitted to the Income Tax Department. Each one has a different purpose but connected with income tax. We have often been asked by our income tax lawyers or colleagues to fill in these forms in time.

What is 27Q and 27EQ?

Form 27Q. Statement for TDS from additional income like interest, dividends, or any other amount payable to NRI (foreigners). Form 27EQ. Statement for TCS (tax collected at source)

How is TCS calculated under 206C?

This Section provides that a seller having turnover of more than ₹10 Crores in the preceding Financial Year is required to collect from the buyer, TCS @ 0.1% of the consideration received against the sale of goods exceeding ₹50 lakhs and the provision was made effective from 1st October, 2020.

How is TCS 206C 1H calculated?

TCS to be calculated on customer receipt (through general journal, cash receipt journal or bank receipt journal) For example, payment has been received from customer for INR 1,00,000 on which 0.10 % TCS is applicable for Nature of Collection ‘1H’, ‘TCS on Recpt.

What is goods for section 194Q?

Finance Act, 202 1 inserted a new section 194Q to the Act which took effect from 1st day of Ju ly, 202 1. It applies to any buyer who is responsible for paying any sum to any resident seller for purchase of any goods orthe value or aggregate of value exceeding fifty lakh rupees in any previous year.

How do you charge TCS on sale of goods?

As per Section 206C(1H), A Seller, Having more than Rs. 10 Crores turnover in preceding financial year, is liable to collect TCS from Buyer on Sale of any goods; if amount received from buyer is crossing Rs. 50 lacs.