I have work with one small organisation. they are manufacturer of storage tanks. Now we done one trading activity, in that we purchase a scrap tanks & sell to other directly. This property are bankrupt property. we purchased it from one auctioneer.and sales to our clients.
So my question is shall in above case TCS is applicable. or whom should libel for same.
05 September 2014
In the given case you are not required to collect TCS since you are trading in scrap. TCS required to be collected on sale of scrap if the scrap was generated out of a manufacturing activity.