basant (manager finance) (105 Points)
30 June 2021We are service provider and required to deduct TCS u/s 206C(1H). Service Recipient is also saying to deduct TDS u/s 94C. Query as below;
1. Service Recipient has not informed us in advance about TDS deduction at their end !
2. Is it possible that both the parties can deduct TCS/TDS at their respective end on same (single) transaction.
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 30 June 2021
1) 206C(1H) is applicable on the seller against sale of goods (not on services). For services, the service provider is required to deduct tax at source (in this case u/s 194C if applicable)
2) Both the parties are NOT required to deduct/collect tax on the same transaction.
debora M
(BUSINESS DEVELOPMENT MANAGER)
(1697 Points)
Replied 30 June 2021
No it is not possible that both the parties can deduct TCS/TDS at their respective end on same (single) transaction.
Manjula
(Accountant )
(119 Points)
Replied 30 June 2021
CAclubindia
