TCS under GST is deducted @1% on Net Sales while TDS under 194-O is deducted @1% on Gross Sales-Should retify by Amazon
1% TCS deduct U/s 52 of the CGST Act, 2017 by Amazon on net taxable value (less of Sales return) & credited to GST Govt which reflects in GSTR2.
1% TDS deduct U/s 194O of Income Tax Act, 1961 by Amazon on gross Taxable amount of sale (Sales return not included) credited to Income Tax Department
Now we filed ITR FY 2022-23 to IT dept. as net taxable sales (less of Sales return) which also match with turnover reported in GST under TCS provision by Amazon.
We received email from CPC Income Tax stating “Rectify the defect in your Return of income” & says receipts as per form 26AS to claim the TDS & we disagreed & replied “As per Sec 194O is deducted on gross amount by e-commerce operator whereas the receipts are offered net of returns”
But not considering above IT Department issued intimation U/s143(1) stating “Total receipts as per Form 26AS from various deductors (amounts appearing against TCS and 194N are not receipts, hence omitted)” and as per rule 37BA they accepted TDS as per 26AS propionate which is 15% approximately less of TDS Credited as per Form 16A certificate by Amazon.
Turnover reported in GST under TCS provisions should be taken as net turnover, not as TDS under Income Tax act should be justified.
TCS under GST is deducted @1% on Net Sales while TDS under 194-O is deducted @1% on Gross Sales-Should retify by Amazon
1% TCS deduct U/s 52 of the CGST Act, 2017 by Amazon on net taxable value (less of Sales return) & credited to GST Govt which reflects in GSTR2.
1% TDS deduct U/s 194O of Income Tax Act, 1961 by Amazon on gross Taxable amount of sale (Sales return not included) credited to Income Tax Department
Now we filed ITR FY 2022-23 to IT dept. as net taxable sales (less of Sales return) which also match with turnover reported in GST under TCS provision by Amazon.
We received email from CPC Income Tax stating “Rectify the defect in your Return of income” & says receipts as per form 26AS to claim the TDS & we disagreed & replied “As per Sec 194O is deducted on gross amount by e-commerce operator whereas the receipts are offered net of returns”
But not considering above IT Department issued intimation U/s143(1) stating “Total receipts as per Form 26AS from various deductors (amounts appearing against TCS and 194N are not receipts, hence omitted)” and as per rule 37BA they accepted TDS as per 26AS propionate which is 15% approximately less of TDS Credited as per Form 16A certificate by Amazon.
Turnover reported in GST under TCS provisions should be taken as net turnover, not as TDS under Income Tax act should be justified.
0 replies
Seller_BjagilzzLsT9G
Yes this problem is with every seller
Seller_MpwwL4TcvYfYW
this 1% refund comes under state GST , so they always delay such refund . you should personally contact your area officer & shake hand . all will be sort out
Seller_4wPaBtgBPKm0q
Same problem here. We sorted it by filing an appeal through our CA on income tax portal. The appeal branch accepted it and directed that the officer should allow the complete TDS as per the rule. But this is will be a pain every year, if not fixed by either Amazon or by IT Deptt.
