TDS U/194Q

[NAMAN DOKANIA]

Will TDS u/s 194Q be deducted by purchaser if seller is not charging TCS as buyer has produced Form 27C to the seller.

[DR.MARIAPPAN GOVINDARAJAN]

Whether the purchase is a manufacturer or trader?

[NAMAN DOKANIA]

Purchaser if Manufacturer, and he is purchasing Coal

[DR.MARIAPPAN GOVINDARAJAN]

No TCS is required to be done for coal if Form 27C is filed.

If your income is exempted then no deduction is required under section 194Q; otherwise you

have to deduct if the threshold limit of your aggregate purchase value exceeds ₹ 50 lakhs.

AI Summary

TDS under section 194Q may apply even if seller files Form 27C unless purchaser is exempt or threshold exceeded.
Where a seller furnishes Form 27C, the seller need not collect TCS on coal sales. Independently, a purchaser must deduct TDS under section 194Q if the purchaser's income is not exempt and the purchaser's aggregate purchases exceed the statutory threshold; this obligation applies even when the seller has not charged TCS.