TCS (Tax Collected at Source) in Tally Prime

                         TCS (Tax Collected at Source)

 

TCS (Tax Collected at Source) is the tax that a seller collects from the buyer during the sale of specific goods under provision 206C, or any other goods on the basis of realization.

If you are a seller of goods such as timber wood, tendu leaves, scrap, and so on, then you have to collect TCS at the time of sale.

Tally Prime provides you with the option to track the threshold limit for a party. TCS will be automatically calculated when the sales exceeds the threshold limit (Rs 50 lakhs, for instance) for the party across transactions.

 

Gateway of Tally

F11 Feature

👇

Enable Goods and Service Tax(GST)    - Yes

👇

Enable Tax Collected at Source – Yes

 

Company TCS Collector Details

TAN Registration No. – BLRT12345A

Tax Deduction and collection Account Number (TAN) - AAAPA1234A

Collector Type– Company

Collector Branch /Division-   Delhi

Set/alter Detail of person responsible – No

 Rate & IT Exemption Limit

Ignore IT Exemption Limit – No

Mohan sold a scrap worth Rs.1 lakh to Kamal. There is a rule to take 1% TCS on scrap.

1% of 1 lakh is 1000 rupees, then 1 lakh 1000 rupees will be taken from Kamal.

TCS of Rs 1000 has to be deposited with the Income Tax Department. The buyer of

 which will be in the name of Kamal.

 

Ledger

 

1) TCS on Purchase          -                  Current Assets

Ctrl + Enter

Press Used for Calculation (for Taxes and Discount)     - YES

Percentage of Calculation            :                                   0.10% 

          

Method of Calculation           :                              On total sales

Rounding Method              :                           Normal Rounding

Rounding Limit                                :                       1

 

 

2) Mohan Ltd.                            -                  Sundry Cr.

Statutory Details

Is TCS Applicable    :Yes

GSTIN/UIN                           :07QWERT4585AYV5

Set/Alter GST Details   :  

 

3) Purchase             -                  Purchase A/C

Statutory Details 

Is GST Applicable        :     Applicable

Set/Alter GST Details   :          No

Type of Supply                    : Service

 

4) Pankaj Ltd.                   -                  Sundry Dr.

Statutory Details 

Is TCS Applicable        : Yes

Buyer /Lessee Type    : Company Resident

Set/Alter GST Details   : No

Type of Supply                    : Service

 

5) Sale            -                  Sale A/C

Statutory Details 

Is TCS Applicable        : Yes

Nature of Goods         : Create

Name         :               Scrap

Section    : 206C

Payment Code:  206

Rate for Individuals/HUF

With PAN     : 1%

With PAN      : 1%

Rate for Other Collectee Type

With PAN     : 1%

With PAN      : 1%

Tax Calculation Based On Retaliation   : No

Threshold /Exemption Limit 

Set/Alter GST Details   :   No

Type of Supply                    :  Service

 

6) TCS         -     Duties and Taxes

Types of Duty Tax    - TCS

Nature of Goods/Contract/license/Lease                      - Scrap

 

7) CGST         -     Duties and Taxes

Types of Duty /Tax    - GST

Tax Type     - Central Tax

 

8) SGST         -     Duties and Taxes

Types of Duty /Tax    - GST

Tax Type    - State Tax

 

9) IGST        -     Duties and Taxes

Types of Duty /Tax    - GST

Tax Type       - Integrated Tax          

 

10) Roundup      -    Indirect Exp.

Type of Ledger   -Invoice Rounding

Rounding Method   - Normal Rounding

Rounding Limit        - 1

 

 

                                     Stock Group

     (1) Name-     Timber

     Under- Primary

     Set/Alter GST Details – Yes

     Taxability -12%

     (2) Name-        Scrap

Under – Primary

     Set/Alter GST Details – Yes

     Taxability -12%

Unit

MT (Metric Ton)

Stock Item

1) Timber Item

HSN Code- 12345

2) Scrap Product

HSN Code -78954

Voucher

F9 (Purchase Voucher)

Mohan Ltd.

                                                __________________________________________________________________________

Name of Item                                                        Qty                 Rate            Per               Amount

Timber Item                                                  200MT        400.00   MT               80000

 

CGST                                                                                                                 4800.00

SGST                                                                                                                  4800.00

TCS on Purchase                                                                 0.10%                        90.00

 

Press F12

Calculate Tax on Current Subtotal-       Yes

 

F8 (Sale Voucher)

Pankaj Ltd.

____________________________________________________________________________

Name of Item                                                        Qty                 Rate            Per                  Amount

Timber Item                                              100MT        500.21        MT             50021.00

 

IGST                                                                                                                     6002.52

TCS                                                                                                                        500.00

Roundup                                                                                                                    0.48

 

 

                                                                     100MT                                                 56524.00