Ours is an export house having sales turnover more than 20 Crores per annum. During the period from April 201 till this moment of time we have purchased raw material from one of our suppliers for Rs 2.42 Crores and payment has been made. As we were not aware of the prevailing rule of TDS u/s 194-Q and just because of unawareness inadvertently we did not deduct TDS. Please guide me what to do in such case now.
01 September 2021
194Q is applicable w.e.f. 1st July 2021. If either payment or purchase is made prior to 1st July 2021, 194Q would not apply. So in your case, tax to be deducted at source u/s 194Q on all purchases from 1st July (if no advance payment was made in respect of the same). Also interest to be paid wherever applicable.
CAclubindia
