HomeBlogIncome TaxUnderstanding New Section 194Q : TDS on Purchase of Goods w.e.f. 01-07-2021

Understanding New Section 194Q : TDS on Purchase of Goods w.e.f. 01-07-2021

  • June 17, 2021
  • Posted by: Amit Mundhra CA
  • Category: Income Tax
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W.e.f. 01-07-2021, Section 194Q,  an important provision of the Income Tax Act, 1961 is getting applicable.

Under this section, TDS is required to be deducted on the purchase of Goods from certain vendors.

Please see the chart below to get a better understanding of this section.

Understanding Section 194Q
Section 194Q Flow Chart


Author: Amit Mundhra CA
Amit Mundhra, B.Com. (Hons.), FCA, DISA, Fellow Member of the Institute of Chartered Accountants of India with over 25 years of practice experience. Amit leads the tax advisory and NRI taxation practice at Karnani & Co., Chartered Accountants, Jaipur. For personalised advice on your specific situation please reach out to us.

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