TCS Rate Chart for FY 2022-23/AY 2023-24 – Income Tax

TCS Rate Chart

TCS Rate Chart: Tax collected at source (TCS) under Income Tax is the tax payable by a seller which he collects from the buyer at the time of sale. Section 206C of the Income-tax act governs the goods on which the seller has to collect tax from the purchasers.

Time of collection of TCS Earlier is earlier of the following period-

  • At the time of debiting the amount payable by the buyer; or
  • At the time of receipt of the amount from the buyer.

TCS Rate Chart for FY 2022-23

SectionNature of PaymentRates
206C (1)Sale of Scrap1%
206C (1)Sale of Tendu Leaves5%
206C (1)Sale of Timber obtained under a forest lease or other mode2.50%
206C (1)Sale of Any other forest produce not being Timber or tendu leaves2.50%
206C (1)Sale of Minerals, coal lignite, Iron ore by a trader1%
206C (1)Sale of Alcoholic Liquor for Human Consumption1%
206C (1C)Lease or license of the Parking lot, toll plaza, mining & quarrying2%
206C (1F)Sale Value of Motor vehicle whether in cheque or in any other mode of receipt Exceeding Rs. 10 Lakhs per transaction1%
206C(1G)Foreign remittance through Liberalised Remittance Scheme (LRS) of exceeding Rs. 7 Lakh in a  financial year if the remitted amount is out of loan obtained from any financial institution u/s 80E to pursue any education0.5%
206C(1G)Foreign remittance through Liberalised Remittance Scheme (LRS) of exceeding Rs. 7 Lakh in  any other case5%
206C(1G)Selling of overseas tour package5%
206C(1H)Sale of goods (Other than those being exported) of value exceeding Rs. 50 Lakh where total Sale/ gross receipts/turnover from business exceeds Rs 10 Crore during immediately  financial year0.1%

However, there is no reduction of rates for Non- Residents. Also, where PAN or Aadhaar is not furnished, tax is required to be deducted or collected at higher rate due to non-furnishing of PAN or Aadhaar For example, if the tax is required to be deducted at 20% under section 206AA of the Income-tax Act due to non-furnishing of PAN/Aadhaar, it shall be deducted at the rate of 20% and not at the rate of 15%

Get Daily Updates in Hindi & English 

Join Tax solution subscription

GST Latest news
Disclaimer:The article or blog or post (by whatever name) in this website is based on the writer’s personal views and interpretation of Act. The writer does not accept any liabilities for any loss or damage of any kind arising out of information and for any actions taken in reliance thereon. 
Also, and its members do not accept any liability, obligation or responsibility for author’s article and understanding of user.

For Collaborating with us-

Tags: blog

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.
You need to agree with the terms to proceed