Rajkot SB of ITAT holds amendment to Sec 206C(6A) retrospective; Also rules all scrap trading subject to TCS

ITAT Special Bench discusses law on application of Tax collection at source (TCS) provisions u/s 206C and meaning of “scarp”; TCS apply to sale of ‘brass scarp’ imported by the trader; Meaning of scrap not restricted to one arising only from manufacture or mechanical operations; Sec 206C provisions also apply to business of trading in scrap; TCS provisions also apply to retail sale, reject’s assessee’s narrow interpretation of the term ‘buyer’; However, relief under first proviso to sub-section (6A) of Sec 206C, as introduced by Finance Act, 2012 available, if the taxes paid by buyer; The amended beneficial proviso applicable retrospectively : Special Bench : Rajkot ITAT in Bharti Auto Products

For detailed judgement click here Bharti_Auto_Products

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