20 August 2012
Finance Bill 2012 proposes the following Amendments in Section 206C of ITA (w.e.f 1 July 2012):
TCS on sale of certain minerals:
It is proposed that TCS provisions shall be made applicable on sale of minerals being coal or lignite or iron ore at the rate of 1%. In other words, seller of minerals being coal or lignite or iron ore shall be required to collect TCS @1% at the time of debiting the amount receivable from the buyer or at the time of receipt of such amount from the said buyer in cash or by the issue of a cheque or draft or by any other mode, whichever is earlier
However, the seller shall not collect tax on sale of the said minerals if the same are purchased by the buyer for personal consumption.
For Details of Preperation of TCS Return and Filining the returns.. go through www.tin-nsdl.co.
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