TCS is the Tax Collected at Source by the seller (collector) from the buyer/lessee
(collectee/payee). The goods are as specified under section 206C of the Income Tax Act, 1961.
If the purchase value of goods is , the amount payable by the buyer is X+Y, where
Y is the value of tax at source. The seller deposits Y (tax collected at source) at any designated
branch of banks authorised to receive the payment.
The seller, lessor or licensor, is responsible for the collection of tax from the
buyer, lessee or licensee. The tax is collected for sale of goods, on transactions, receipt of
amount from the buyer in cash or issue of cheque, draft or any other mode, whichever is earlier.
Under TCS, a seller is defined as any of the following:
•
Central Government
• State Government
• Any Local Authority
• Any Statutory
Corporation or Authority
• Any Company
• Any partnership
Firm
• Any Co-operative
Society
• Any individual/HUF
whose total sales or gross receipts exceed the prescribed monetary limits as
specified under section 44AB during the previous year
Note : A buyer is classified as a person who obtains goods or the right to receive goods in
any sale, auction, tender or any other mode.
The following are not included:
• Public Sector Companies
• Center Government
• State Government
• Embassy of High Commission, Consulate and other Trade Representation of a
Foreign State
• Any Club, such as social clubs, sports clubs and the like
In This Post You Will Learn "How To Record TCS Tax Transaction In Tally Prime Step By Step Guide.
Step 1 Create Company In Tally
Step 2 Enable TCS In Tally Prime By Press F11 Key
After Create Company You Have To Enable TCS Tax Feature In Tally Prime For Record TCS Tax Transactions. Press F11 Key For Enable TCS Tax In Tally Prime.
As You Tap Yes Then You Have To Fill TDS Details.
Step 3 TCS Details And Responsible Personal Name Set Up
As You Press Yes - On Enable Tax Deducted At Source (TDS), Here Fill These Details Like This
Note : Set / Alter Details Of Person Responsible
Step 4 Ledgers Creation In Tally Prime
4.1 TCS On Purchase Ledger Create
Gateway Of Tally >> Create >> Ledger
Select Group And Press CTRL + Enter For Direct Alter Group Details. After This You Will Eligible For Fill Percentage Calculation So First Alter Group Do As Bellow Shown.
Note : Tap On Current Assets & Press CTRL + Enter
4.1.1 Group Alteration Current Assets
Tap Yes After Select " Used for calculation (for example : taxes , discount)
Fill Percentage
Step 4.2 Sundry Creditor Ledger Creation SKB Builders
Gateway Of Tally >> Create >> Ledger
Step 4.3 Purchase Ledger Creation Purchase A/c
Gateway Of Tally >> Create >> Ledger
Step 5 Item Group Creation Hardware
Gateway Of Tally >> Create >> Stock Group
Step 6 Item Unit Creation
Gateway Of Tally >> Create >> Unit
6.1 Unit Number Create
Gateway Of Tally >> Create >> Unit Create Nos
Step 7 Stock Item Creation
Gateway Of Tally >> Create >> Stock Item
Step 8 Item Create Mouse
Gateway Of Tally >> Create >> Stock Item Mouse
Step 9 Take Purchase Voucher
Gateway Of Tally >> Vouchers >> Purchase
9.1 Press CTRL H And Choose Voucher Mode Select Item Invoice
Gateway Of Tally >> Vouchers >> Purchase >> Press CTRL + H Select Item Invoice
Step 10 Fill Purchase Voucher Like This Include TCS On Purchase Ledger
Gateway Of Tally >> Vouchers >> Purchase
Enable TCS In Tally For Sale Invoice
Step 11 TCS Nature Of Payment
Gateway Of Tally >> Create >> TCS Nature Of Payment >> Create
Step 11 Sales Ledger Creation
Gateway Of Tally >> Create >> Ledger
Step 12 Sundry Debtor Ledger Creation
Gateway Of Tally >> Create >> Ledger
Step 13 TCS Ledger Creation
Gateway Of Tally >> Create >> Ledger
Step 14 Pass Sales Voucher
Gateway Of Tally >> Vouchers >> Sales