Declaration
To, Date:
Subject : Declaration with respect to TDS compliance under Section 194Q
of the Income-tax Act, 1961
Previous Year (PY) : 2021-22
Assessment Year (AY) : 2022-23
Permanent Account :
Number (PAN)
Declaration for purposes of section 194Q of the Income-tax Act, 1961
1. Sales/Gross receipts/Turnover:
This is to declare that my/our sales/gross receipts/turnover for the financial Year 2020-21 exceeds the
threshold of INR 10 crores as per section 194Q of Income tax Act, 1961.
Yes
No
2. If yes, compliance to Section 194Q
I/We declare that with effect from 1 July 2021 I/we shall be deducting TDS at the rate of 0.1% on all
st
purchases of goods as per the provisions of section 194Q of Income-tax Act 1961. We shall be sharing
TDS certificates with PI and PI is requested not to collect TCS on sale of goods as per section 206C (1H)
of Income Tax act 1961.
Yes
No
Incase, there is a failure in deducting/depositing taxes under section 194Q of the Income-tax Act, 1961,
PI may collect TCS from me/us alongwith applicable interest(s)/penalty(ies).
3. Filing of return of income - compliance to Section 206CCA:
As per the provisions of section 206CCA, tax is required to be collected at double the rate specified under
the Act or five percent or any other higher rate prescribed under the Act if the person from such amount is
received has not filed its Income-tax return for the preceding two financial years (and the timeline to file
the same under section 139(1) of the Act has expired).
This is to declare that I/ we have filed Income tax returns for following PYs relevant to respective AYs as
on the date of providing the said declaration:
PY 2019-20 (AY 2020-21)
PY 2018-19 (AY 2019-20)
4. Threshold limit for tax deducted at source (‘TDS’) and tax collected at source (‘TCS’):
For the purpose of section 206CCA, this is to declare that the aggregate of TDS and TCS in my/ our case
for each of the above mentioned PYs is equal to or in excess of/less than* INR 50,000/-.
I/ we hereby certify that the declaration made above is true and correct. If there is any change in the
above information, I/we would promptly inform PI. Further, I/we would also submit any documents
required/needed to support the above declaration, if and when required.
In the event that the above declaration is found to be false or incorrect, due to which PI is held liable for
any consequences under the Income-tax Act, 1961 or any other law, then, I/we would indemnify PI
towards any loss/ damage incurred in this regard.
Yours sincerely,
For
Name, Designation, and Signature
* strike out whichever is not applicable
