TDS on purchase of goods: buyers above turnover threshold must deduct tax at source on specified high-value purchases. Section 194Q requires a buyer meeting the turnover threshold to deduct TDS at 0.1% on purchase payments to a resident seller exceeding the specified annual threshold, with a higher rate if the seller's PAN is not furnished; deduction is made at earlier of credit or payment, and suspense-account credits are treated as payee credits. The section defines buyer by prior-year turnover, excludes transactions subject to other TDS/TCS provisions, and empowers the Board to issue guidelines addressing GST treatment, purchase returns and practical difficulties, with circulars and notifications clarifying exclusions including certain exchange-traded transactions and specified IFSC unit purchases.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
TDS on purchase of goods: buyers above turnover threshold must deduct tax at source on specified high-value purchases.
Section 194Q requires a buyer meeting the turnover threshold to deduct TDS at 0.1% on purchase payments to a resident seller exceeding the specified annual threshold, with a higher rate if the seller's PAN is not furnished; deduction is made at earlier of credit or payment, and suspense-account credits are treated as payee credits. The section defines buyer by prior-year turnover, excludes transactions subject to other TDS/TCS provisions, and empowers the Board to issue guidelines addressing GST treatment, purchase returns and practical difficulties, with circulars and notifications clarifying exclusions including certain exchange-traded transactions and specified IFSC unit purchases.
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