TCS - Tax Collected at Source

[Former Member]

Hi All,

We have worked on TDS - Tax Deducted at source for vendors and employees. Now, there is a new concept called TCS - Tax Collected at Source.

When & How we calculate this? Please explain.

Regards,

Gangadhar

[Former Member]

Dear Gangadhar,

I think you would have known about Scrap sale process.

Scrap Sale Process is similar to Normal Sales process, except for Pricing Procedure. In Scrap Sale Pricing Procedure, at the end of the pricing Procedure, we require to configure TCS (Tax Collected at Source) condition type, which is payable to the Government. TCS % details are normally provided by the Client.

Ensure to create a TCS i.e Tax Collected at source Condition Type, as a copy of discount & surchage condition type & place it as the last Condtion in Pricing Procedure, which requires to collected from the vendor & paid to Government (in Indian Scenario) while configuring in IMG.