You can define the TCS rate with/without PAN for each Nature of Goods , and view the transaction values attracting higher TCS rates in absence of PAN (for collectee types other than non-resident Indian), in a separate row in the Form 27EQ report.
For non-resident collectee type who may or may not have PAN, the TCS amount is calculated at the normal rate.
Defining TCS rates with/without PAN for TCS Nature of Goods
Recording sales without PAN at twice the TCS rate
Recording sales without PAN at 5% TCS rate
Viewing the values of Collection at Higher Rate in Form 27EQ report
When you are selling the same goods to customers who may or may not have PAN, you can define the TCS rates for customers with or without PAN for each TCS Nature of Goods .
To define the normal rate of TCS along with higher rate of 5%
1. Go to Gateway of Tally > Accounts Info. > Statutory Info. > TCS Nature of Goods > Create .
2. Press Ctrl+C and select the Nature of Goods . The Section and Payment code appears automatically.
3. Enter the Rate if PAN is available and press Enter . The cursor skips the field Rate, if PAN not available .
4. Press Backspace and enter the TCS Rate, if PAN not available .
5. Enter the Threshold/exemption limit , if applicable.
6. Press Enter to save.
To define the applicability date for each TCS rate with/without PAN
1. Click L : Details in the alteration mode of TCS Nature of Goods screen.
2. Enter the date with the applicable rates in the Rate and Exemption Limit Details screen.
3. Press Ctrl+A to accept.
To define the TCS rate for individuals/HUF and other collectee types with and without PAN
1. Click F12: Configure in the TCS Nature of Goods screen and set the option Allow rate details for others? to Yes .
2. Press Enter to return to TCS Nature of Goods screen.
3. Enter the required TCS rates, as shown below:
Note: You need to calculate the TCS rate at twice the normal rate or at 5%, whichever is higher, and enter it manually in the field Without PAN .
4. Enter the Threshold/exemption limit , if applicable.
5. Press Ctrl+A to accept.
To record sale of tendu leaves (Nature of Goods shown in the above example)
1. Go to Gateway of Tally > Accounting Vouchers > F8: Sales .
2. Select the party ledger for which PAN is not defined in the Party A/c Name field.
3. Select the Sales ledger predefined with the Nature of Goods as Tendu Leaves .
4. Select TCS ledger predefined with the Nature of Goods as Tendu Leaves . The TCS amount is calculated at 10% as PAN is not defined for the party ledger, as shown below:
5. Press Enter to save.
To record sale of scrap leaves (Nature of Goods shown in the above example)
1. Go to Gateway of Tally > Accounting Vouchers > F8: Sales .
2. Select the party ledger for which PAN is not defined in the Party A/c Name field.
3. Select the Sales ledger predefined with the Nature of Goods as Scrap .
4. Select TCS ledger predefined with the Nature of Goods as Scrap . The TCS amount is calculated at 5% as PAN is not defined for the party ledger, as shown below:
5. Press Enter to save.
To view the transactions shown above in Form 27EQ
1. Go to Gateway of Tally > Display > Statutory Reports > TCS Reports > Form 27EQ .
The Form 27EQ report appears with the transaction values under Collection at Higher Rate as shown below:
Note: The values of transactions made with/without PAN by selecting the party ledger predefined as non-resident Indian are displayed under Collection at Normal Rate . The Rule 206CC of collecting TCS at twice the rate or at 5% whichever is higher, is not applicable for non-resident Indians.
2. Press Enter twice from Collection at Higher Rate to view the breakup of transactions recorded at higher rate, as shown below:
