TCS

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 January 2011 WE ARE MANUFACTURING CYCLE PARTS,AND SELLING SCRAP

WE ARE MAKING BILLS LIKE THIS

COST OF SCRAP RS.1000.00
TCS @1% (ON COST) RS. 10.00
VAT @ 4%(ON COST) RS. 40.00
-TOTAL RS.1050.00

LET ME KNOW THIS IS RIGHT OR WRONG IF WRONG THEN WHAT IS RIGHT

PLS ATTACH SOME PROOF ALSO FOR SUPPORT

CA Shailesh Kumar Bhagat

CA Shailesh Kumar Bhagat (Expert)
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24 January 2011 You have billed correctly.

Guest

Guest (Expert)

24 January 2011 you have billed correctly but avoid TCS in the bill if you do'nt have any practical problem.

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Querist : Anonymous

Querist : Anonymous (Querist)

25 January 2011 Thanks for your reply

I have to charge it on the bill as my client will only pay if I shall charge the same in my Invoice.

Further plz note the VIEWS OF A C.A. AT LUDHIANA IS AS TCS IS CENTRALTAX THEREFORE IT SHOULD BE COLLECTED ON BASIC AMT + STATE TAXES. HOW I CAN JUSTIFY HIM

Guest

Guest (Expert)

25 January 2011 TCS is not the tax itself but it is only a mode of collection. However, you can issue separate bill for TCS only to avoid any type of controversy