This is to keep you informed about new TDS section 194Q that will come in to effect from 1st July 2021. This section will be applicable on:
- Purchase of goods.
- Tax payers whose annual turnover is greater than 10 crores in the immediate preceding financial year.
- Tax is required to be deducted by such person if the purchase of goods by him from the seller is of the value or aggregate of such value exceeding fifty lakh rupees.
The tax rate applicable is 0.1% on purchases exceeding 50 Lakh rupees.
For more details please refer to our blog on the subject available in the link here.
To address this requirement, we have created a help article, following which you will be able to handle the requirement of this section in your data easily. Please refer to the help article here.
You can expect further simplification of the same in our future release. For any questions, please feel free to reach out to your partner.