S-194-O Payment of certain sums by the e-commerce operator to participant

S-194-O Payment of certain sums by the e-commerce operator to e-commerce participant

Where Sale of goods or provision of services of an e-commerce participant is facilitated by an e-commerce operator through its digital or electronic facility or platform (by whatever name called),

Such e-commerce operator shall, at the time of credit of the amount of sale or services or both to the account of an e-commerce participant or at the time of payment thereof to such e-commerce participant by any mode, whichever is earlier,

Deduct income tax at the rate of 1% of the gross amount of such sales or services or both.

Related Article…

[pt_view id=”c8bb8e9z6d”]

Explanation

For the purposes of this subsection, any payment made by a purchaser of goods or recipient of services directly to an e-commerce participant for the sale of goods or provision of services or both, facilitated by an e-commerce operator, shall be deemed to be the amount credited or paid by the e-commerce operator to the e-commerce participant and shall be included in the gross amount of such sale or services for the purpose of deduction of income-tax under this sub-section.

No deduction shall be made from any sum credited or paid or likely to be credited or paid during the previous year to the account of an e-commerce participant, being an individual or HUF, where the gross amount of such sale or services or both during the previous year does not exceed Rs. 5 Lakhs and such e-commerce participant has furnished his PAN/ AADHAAR to the e-commerce operator.

A transaction in respect of which tax has been deducted by the e-commerce operator or which is not liable to deduction under this section, shall not be liable to tax deduction at source under any other provision of this Chapter.

For the purposes of this section, the e-commerce operator shall be deemed to be the person responsible for paying e-commerce participants.

5 Mistakes to Avoid while Filing your Income Tax Returns!

electronic commerce means the supply of goods or services or both, including digital products, over a digital or electronic network;

e-commerce operator means a person who owns, operates or manages digital or electronic facility or platform for electronic commerce;

e-commerce participant means a person resident in India selling goods or providing services or both, including digital products, through the digital or electronic facility or platform for electronic commerce;

services include “fees for technical services” and fees for “professional services”, as defined in the Explanation to section 194J.

Fix issues with the Income Tax e-filing portal by September 15, 2021: FM to Infosys

Fix issues with the Income Tax e-filing portal by September 15, 2021: FM to Infosys

The Finance Ministry met with Infosys to discuss issues with the Income Tax Department’s e-filing portal.

Smt. Nirmala Sitharaman, Union Minister for Finance and Corporate Affairs, met with Mr Salil Parekh, MD & CEO, Infosys, here today afternoon to express the Government’s and taxpayers’ deep disappointment and concerns about the ongoing glitches in the Income Tax Department’s e-filing portal, even two and a half months after its launch, which was also delayed. Smt. Sitharaman demanded an answer from Infosys for the taxpayers’ ongoing problems.

[pt_view id=”bde86c4tc7″]

The Ministry of Finance emphasised the necessity for Infosys to invest more resources and effort in order to assure the much-delayed delivery of agreed-upon services. Mr. Parekh was also made aware of the challenges faced by taxpayers, as well as the issues that have arisen as a result of the portal’s slow operation.

The Finance Minister demanded that the team overcome the challenges that taxpayers are having with the portal’s present features by September 15, 2021, so that taxpayers and professionals may work together effortlessly on the platform.

India’s exposure to US securities has increased by more than 10pc in the last 3 months 

Mr. Parekh stated that he and his staff are doing all possible to ensure the portal’s flawless operation. Mr. Parekh further stated that around 750 team members are working on this project, which is being directly overseen by Mr. Pravin Rao, Infosys’ COO. Mr. Parekh also stated that Infosys is working quickly to ensure that taxpayers have a smooth experience on the platform.

Recent Posts

E-commerce tax?

E-commerce firms may get 6-month tax breather

The TCS is also provided in tax sources for distributors who produce six-month e-commerce websites in freight and service tax (GTS) segment.

Legal review committee can be a brewer for e-commerce players. This is strongly opposed by extra taxes.
The TCS will hand over 1 percent of the central government and state to the GSD Council on April 1, 2018.

Reverse charge mechanism and e-way bill. However, the e-vendor bill will be implemented from February 1 onwards in the backdrop of revenue leakage concerns. However, the reverse charge mechanism of structural dealers can now be implemented at any time.

The contract with TDS and TCS can be discouraged at least for a period of six months, which is the point of view of the legal committee.

 GSTN portal Should be stable

The TCS implementation will be through the GSTN portal, which should be stable, not only threatening the company of the company, but also the simplification of the company’s burden.

 

TCS will surely collect e-commerce players. Transactions for sale on the website of marketing customers will be done.
The TCS discount is one percent discount on model goods and tax-luxury e-commerce operators approved by GST. The TCS provision earlier in the GST Act had previously included up to ‘1% TCS’ following strong opposition of e-commerce industry.

1% of the Central GSDP and State GST account, while total connections are 2%. The government will help to inspect tax exemptions by collecting and activating any tax and information in TCS source. However, it will slow down the flow of money for the industry.

[frontpage_news widget=”1722″ name=”GST”]
The TCS is providing suppliers that sell it on e-commerce portals, that they will work for some time before getting their refunds. The industry also argued that TCS would be locked in with the capital and would discourage companies from selling online portals.
According to a Flipkart report last year, 4 billion jobs will be created each year. The e-commerce player is selling small, medium-sized entrepreneurs and selling them on e-commercial platforms and going to digital business.