Income Tax

CBDT widens TCS net on sale of ten high priced goods – Read Notification

CBDT widens the TCS net on sale of ten high priced goods of the value exceeding ten lakh rupees w.e.f. 22.04.2025

Section Section 206C of the Income Tax Act, 1961, pertains to the Tax Collected at Source (TCS). It mandates certain sellers to collect tax from buyers at specified rates on certain transactions, which is then remitted to the government. This section aims to ensure tax collection at the source of specific high-value transactions, facilitating better tax compliance.

The Responsibilities of the Seller include, collecting TCS at the prescribed rate, issue a TCS certificate (Form 27D) to the buyer, deposit the collected TCS to the government by the 7th of the following month and file quarterly TCS returns (Form 27EQ).

The CBDT has notified the following ten goods of the value exceeding ten lakh rupees for attracting the provisions of collection of tax at source (TCS) under section 206C of the Income-tax Act, 1961.

Sl. No. Nature of Goods
(1) (2)
1 any wrist watch
2 any art piece such as antiques, painting, sculpture
3 any collectibles such as coin, stamp
4 any yacht, rowing boat, canoe, helicopter
5 any pair of sunglasses
6 any bag such as handbag, purse
7 any pair of shoes
8 any sportswear and equipment such as golf kit, ski-wear
9 any home theatre system
10. any horse for horse racing in race clubs and horse for polo

Download CBDT Notification No. 36/2025 Click Here >>

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