Indian Company Master Data Made Simple

TCS - Tax Collected at Source

3 min read

Quick Summary

TCS is collected by sellers from buyers on sale of specified goods like liquor, timber, minerals, and in e-commerce transactions.

Tax Collected at Source (TCS) requires sellers to collect tax from buyers at specified rates on sale of certain goods. E-commerce operators must collect TCS at 1% on supplies made through their platform.

Key Points

  • Collected by seller from buyer
  • Applicable to specified goods
  • E-commerce TCS at 1%
  • Seller deposits with government
  • Buyer gets TCS credit