Business Bureau ;
STEEL and Hardware Chamber of Vidarbha, the apex trade association of industries and traders engaged in the business of iron, steel and hardware recently organised a knowledge imparting session on various aspects of Tax Collection at Source (TCS) on Sale of Goods under Income-Tax Act being introduced w.e.f. October 1, 2020. The seminar addressed the issues regarding how to conduct business transactions and its accounting. The keynote speaker, CA Kirti Kumar Thakkar, with the help of power point presentation and practical examples explained the nitty-gritty of the newly introduced Section 206C (1H) of Income Tax and the precautions to be taken by businessmen in their day-to-day working.
He explained that the new law has been brought to further the objective of the Government of widening and deepening the tax net. He went on to explain as to who are covered under the provision, who are exempted, what types of transactions are liable and various formalities associated with the compliance of the said law. Some practical examples and issues were also discussed by him. “There are many confusions in the newly introduced section on which there is no clarification from Government and hence its implementation should be deferred at least by six months up to March 31, 2021,” he said.
At the outset Rajesh Lakhotia, President of the Chamber welcomed the guest speaker, members and also addressed the gathering. Members opined that the new TCS provision goes against the ethos of ‘Ease of Doing Business’ professed by the present Government since 2014 and same will increase compliance burden on part of assessee and professionals as well. Members unanimously appealed to Nirmala Sitharaman, Finance Minister, Government of India, to recall the provision or at least postpone the implementation date to April 1, 2021 and during the period explore other ways and means to achieve the goals or to address the concerns raised by the stakeholders.
The session was compered by Sameer Agrawal, Secretary of the Chamber and question and answer session by Sanjay K Agrawal. The vote of thanks was proposed by Manish Jejani, Joint Secretary. Members in large numbers attended the Zoom and Facebook live webinar, informs a press release by Sameer Agrawal, Secretary.