Collection of TCS

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whether TCS has to be collected from the buyer if he is a manufacturer on scrap sales thank you

AI Summary

Debate on TCS Applicability for Manufacturers Buying Scrap under Section 206C: Free Consultation Concerns Raised A query was raised regarding whether Tax Collected at Source (TCS) must be collected from a buyer who is a manufacturer purchasing scrap. CA Uma Kothari suggested that the forum should not be used for free consultations and emphasized the need for detailed queries. Dev Kumar Kothari agreed with Uma Kothari's view. Surender Gupta disagreed, stating that TCS is generally applicable to scrap sales under Section 206C of the Income Tax Act, but not required if the scrap is used for further manufacturing by the buyer, with a declaration in a prescribed form.