TCS of 1% applicable w.e.f 1/06/2016 if the consideration ( or any part of it) is received in cash of sale of ANY goods/ provision of any service.

Finance Act 2016 Section 206C(1D) (TCS) for immediate attention of All

w.e.f *01.06.2016*, if the consideration ( or any part of it) is received in cash of sale of ANY goods/ provision of any service (exceeding Rs. 2. lac), TCS @ 1% should be deducted.
Example: MR A purchases goods from distributor for Rs. 6.00 lac on 10.06.2016, payment of Rs. 598000/- has been made by cheque/RTGS on 11.06.2016, balance 2000/- has been paid in Cash on

12.06.2016. Please note that Seller has to collect TCS @ 1% on Rs. 600000/- ( i.e Rs. 6000/-). This TCS is applicable regardless of the fact whether A is dealer in goods or A purchased for his personal consumption.

*As of now this section applicable to all goods or services*

Section 206c(1d) of Income-tax Act, 1961 after Amendment by Finance Act , 2016

(1D) Every person, being a seller, who receives any amount in cash as consideration for sale of bullion  or jewellery or any other goods (other than bullion or jewellery) or providing any service , shall, at the time of receipt of such amount in cash, collect from the buyer, a sum equal to one per cent of sale consideration as income-tax, if such consideration,—
(i)            for bullion, exceeds two hundred thousand rupees; or
(ii)           for jewellery, exceeds five hundred thousand rupees;  or
(iii)     for any goods, other than those referred to in clauses (i) and (ii), or any service, exceeds two hundred thousand rupees:
Provided that no tax shall be collected at source under this sub-section on any amount on which tax has been deducted by the payer under Chapter XVII-B.