TCS (Tax Collected at Source) is a tax levied on certain specified goods and services which is collected by the seller at the time of sale and deposited with the government. In Lucknow, TCS (Tax Collected at Source) return filing consultant in Lucknow provisions are governed by the Income Tax Act, 1961, and the Income Tax Rules, 1962. TCS is a mechanism through which the government collects tax at the source of certain transactions, such as the sale of goods or services, and certain other transactions.
Here are the provisions for TCS return filing in India:
- TCS return filing frequency: TCS returns need to be filed quarterly by the collector (the person who collects the tax). The due dates for TCS return filing are:
- 31st July for the April-June quarter
- 31st October for the July-September quarter
- 31st January for the October-December quarter
- 31st May for the January-March quarter
- TCS return forms: TCS returns can be filed in either Form 27EQ or Form 27D, depending on the nature of the transaction.
- TCS return filing mode: TCS returns can be filed online through the government’s e-filing portal or through authorized TIN-FC (Tax Information Network – Facilitation Center) centers.
- TCS return due date extension: In some cases, the government may extend the due date for filing TCS returns. However, the collector must apply for the extension of the due date before the original due date.
- TCS return penalties: If a collector fails to file TCS returns on time, he/she may be liable to pay a penalty of up to Rs. 10,000. In addition, interest may also be charged on the outstanding amount of TCS.
- TCS certificate issuance: Once the TCS return is filed, the collector must issue TCS certificates to the collectees within specified time limits.
It is essential for collectors to comply with TCS return filing provisions in India to avoid penalties and interest charges.
TCS is a way of collecting tax by the government on certain specified goods and services. The person who is responsible for collecting the tax (collector) collects tax at the prescribed rate and deposits it with the government.
Rules: The TCS rules are governed by the Income Tax Act, 1961 and the TCS provisions are administered by the Central Board of Direct Taxes (CBDT).
Legal provisions: The legal provisions for TCS are mentioned in the Income Tax Act, 1961 and the rules framed under the act.
Process: The TCS process involves the following steps:
- Collection of TCS at the time of sale.
- Deposit of TCS with the government within a specified time period.
- Issuance of TCS certificate (Form 27D) to the buyer.
- Filing of TCS return by the collector.
Checklist: Before filing TCS return, the following checklist should be kept in mind:
- Check for correct PAN (Permanent Account Number) of the collector.
- Correct Assessment Year.
- Check for correct PAN of the buyer.
- Check for TCS rate applicable.
- Ensure TCS is deposited within the due date.
Advantages: The advantages of TCS are:
- It helps in reducing tax evasion.
- Easy collection of tax by the government.
- It ensures timely payment of taxes.
Disadvantages: The disadvantages of TCS are:
- The process is time-consuming.
- There are compliance requirements.
- It increases the cost of doing business.
Cost: The cost of TCS return filing depends on various factors such as the number of transactions, complexity of transactions, etc.
Type: TCS can be levied on various goods and services such as the sale of scrap, sale of tobacco, sale of alcoholic liquor for human consumption, etc.
Time involved: The time involved in TCS return filing depends on various factors such as the number of transactions, complexity of transactions, etc.
Validity: TCS return must be filed within the due date as specified under the Income Tax Act.
Documents required: The following documents are required for TCS return filing:
- PAN card of the collector.
- TCS certificate (Form 27D).
- Bank statement showing TCS deposit.
- Details of TCS collected and deposited during the year.