TCS on deemed export

[JOHN SHANNEL]

Hi All,

We are supplying products (Liquor) to airlines. Being deemed export is there TCS applicable? Can you advice?

AI Summary

TCS Applicability on Liquor Supplies to Airlines: Not Deemed Exports, Subject to TCS Under GST Law A query was raised regarding the applicability of Tax Collected at Source (TCS) on the supply of liquor to airlines, classified as deemed exports. One respondent clarified that TCS provisions apply only to e-commerce operators and not to deemed exports, suggesting that the concessional Merchant Export rate of 0.1% does not apply to supplies to airlines. Another response indicated that such supplies do not qualify as deemed exports under Foreign Trade Policy or GST law, as the goods are not exported outside India, thereby necessitating TCS on these transactions.