Business Bureau :
CA Makarand Joshi, Past Vice- Chairman of WIRC, while speaking at a webinar on ‘TDS / TCS Amendments’ conducted by the Nagpur Branch of ICAI said that TDS used to be a simple law few years back but over the years it has become really tedious. He was chief guest of the webinar on ‘Recent Changes in TDS / TCS Provisions’ conducted for the benefit of ICAI members.
There are a lot of interpretational issues in the law and every professional needs to understand it properly for effective implementation, he further said adding that the Government could have prolonged the implementation of various changes in the Income Tax Act in the current scenario, when work from home (WFH) is the rule of the day. A taxpayer is not expected to pay a penalty or pay interest for interpretation issues of the law, he added. The digitisation of Income Tax applications has made life easy for cross reconciliation of data and the pre-fill utility of Income Tax returns and cross matching with Form 26AS is a welcome step of the Government, he said.
There are so many provisions of TDS/ TCS applicable from July 1 and everyone must understand and follow all provisions correctly, he said. CA Saket Bagdia, Chairman of the Branch, said, “You need to be diligent and interpret the law correctly to comply with all provisions.”TDS and TCS provisions represent not only advance tax collections by the Central Government, but also cross check as regards transactions by various persons. CA Prachi Parekh from Mumbai elaborated on the recent changes in TDS/TCS provisions. She explained in detail the amended TDS provisions applicable from last financial year. She also elaborated on provisions of Section 194-N related to TDS on cash withdrawals by banks, Section 194-O related to TDS on payments by e-commerce operators to e-commerce participants, Section 194 related to TDS on dividends by companies and other related TDS amendments.
CA Parekh spoke about the confusions and intricacies involved in interpretation of Section 206C (1H) applicable w.e.f. October 1, 2020 related to TCS to be recovered by seller on amount received in respect of sale proceeds from Debtors and Section 194Q applicable from July 1, 2021 related to TDS to be deducted by purchaser in respect of purchases from vendors @0.1%. The queries of members were effectively resolved in the discussion. The session was coordinated by Immediate Past Chairman CA Kirit Kalyani while formal vote of thanks was proposed by CA Sanjay M Agrawal, Secretary of the Branch. Prominently present on the occasion were CA Akshay Gulhane, Treasurer, CA Rajesh Loya, Past Chairman, CA Rajesh P Agrawal, CA Yash Verma, CA Thakur Manuja, CA Ankit Sugandh, CA Naresh jakhotia and a lot of other members.