Applicability of TCS under GST (Section 52)

Applicability of TCS under GST (Section 52)

The government of India has issued the Notification No. 51/2018 – Central Tax. It is regarding the section 52, which is related to the applicability of the TCS under GST. The Section 52 of the CGST act prescribes the TCS under GST or Tax Collected at Source. The mentioned Notification has notified to apply the provisions of the TCS/Section 52. TCS is to be deducted by every electronic commerce operator as per the provisions.

In this act, every electronic commerce operator, not being an agent, shall collect an amount calculated. At such rate not exceeding one per cent., as may be notified by the Government on the recommendations of the Council, of the net value of taxable supplies made through it by other suppliers where the consideration with respect to such supplies is to be collected by the operator.

Explanation:

For the purposes of this subsection, the expression “net value of taxable supplies” shall mean the aggregate value of taxable supplies of goods or services or both, other than services notified under sub-section (5) of section 9, made during any month by all registered persons through the operator reduced by the aggregate value of taxable supplies returned to the suppliers during the said month.