TDS & TCS Provisions Under GST (Applicable from 1st Oct 2018)

TDS & TCS Provisions Under GST (Applicable from 1st October 2018)

Tax Collection at Source (TCS)

TCS When?

  • When supplier sell goods or services through portal of electronic commerce operator & payment is collected by operator

Rate of TCS?

  • Up to 2% of (sale reduced by sale return)
  • Note: Sellers (i.e. on Flipkart/Amazon/Other ecommerce platforms) will get the amount after deducted TCS)

TCS Claim?

  • TCS will be credited in cash ledger
  • The all detail of TCS will be available in form GSTR 2A online on GST portal.

Compliance on Electronic Commerce Operator?

  • Payment/Return – up to 10th of next month

TDS Deducted at Source (TDS)

Who will deduct?

The TDS will be deducted by specified government bodies on contracts

  • Department of Establishment of Government
  • Local Authority
  • Government Agencies
  • Society Established by Government or Public Sector Undertakings

Which amount?

  • Where total value of supply exceeds INR, 2,50,000/- (value of supply to exclude – CGST, SGST, IGST or cess)
  • On payment made or credited to supplier of taxable goods or services or both

TDS Claim?

  • The TDS will be credited in cash ledger
  • TDS Deductor shall provide certificate to deductee in the form GSTR-7A
  • Details of TDS will be available in the form GSTR 2A

TDS Rate?

  • 2% (CGST-1% & SGST 1% or IGST 2%)

Compliance on Deductor?

  • Payment/Return – Up to 10th of next month

Notes on TDS under GST

  • TDS not applicable in case when location of supplier & place of supply is in a state which is different state of recipient.


Categories GST

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