What is TCS(Tax collected at source)? Click the link to know about the TCS concept.
Required software version - GOFRUGAL RetailEasy 7.0.0.RC225
Below are the steps to easily make a TCS entry for a sales entry
#Enabling the configuration (When a business makes a turnover above 10 crores, then the TCS config should be enabled.
Once enabled, TCS will be automatically calculated for a sales invoice when the sales to that party goes above 50 lakhs)
Step 1 : In the GOFRUGAL RetailEasy home screen, navigate to registration master under Tools
Step 2 : In the right corner, enable the "TCS applicable"
#Calculating and printing TCS amount in a sales invoice
TCS for a sales invoice will be calculated when the sales with a the particular party
goes above 50lakhs in the same financial year
Step 1 : Make a sales invoice (Assume, sales to the party has already crossed 50 lakhs in this financial year) .
the below image, the total amount of the sales bill is Rs 71,250 and
the TCS amount will be calculated automatically by the software in the
case of sales bill.
In this case, TCS will calculated at the rate of 0.075% (till march 31 2021, after that TCS rate will be 0.1%) So, TCS amount for this bill = 71250 * 0.00075 = Rs 53.44
Scenario : Assume, before saving this bill you've done a total sales of Rs 49,50,000 to the party in this financial year.
when you save the below bill of Rs 71,250 then, TCS => ( 71,250 -
(50,00,000-49,50,000)) * 0.00075 => 21,250 * 0.00075 => Rs15.94
The TCS calculated is not a part of the sales invoice. Since it's a separate liability that we need to collect, a journal entry will be automatically passed for the TCS entry.
in reports related to sales, GSTR, the TDS entry will not be
available. In bill print we can include the TCS field which we will see
Step 2 : After
clicking on done in the tender screen, click preview in the below
screen. If the print preview option is not available in your system,
to sales -> reprint -> put the bill date range in <bill date
between> -> choose a chill and click on F2 (preview). This
"preview" step will be used to
place the TCS print field in the print design
Step 3 : In the print preview screen, click on the edit option
Step 4 :
the Easy print designer, first click on "enable editing" option to
edit the design. Now in the right side, search for TCS and you will
find three fields.
Tcs collected - this field will provide us the TCS amount for the sales invoice. If you are not able to find the TCS field in the search,
F7 (create new field) , search for TCS in the "field search" and enable
it. Once enabled, it will reflect in the right corner of the screen
under "search by field caption"
Step 5 : In the left corner of the above screen click on the preview option to view the preview as below. TCS amount for the bill
TCS amount - TCS amount (exclusive of sales invoice amount)
How will TCS reflect in Accounting (ledger & oustanding) ?
Step 1: In the AccountsEasy module navigate to Ledger report
Step 2 : Choose the party to whom you had sold the goods
Step 3 : Drill down the report by clicking on enter
Step 4 : Here
you can see the TCS amount of Rs53.44 been automatically recorded in
the accounts. The software will calculate the TCS value and will pass a
journal entry automatically
#TCS Outstanding report and clearance in AccountsEasy
To view the outstanding report :
Go to Reports -> outstanding -> customer outstanding report
-> choose the customer ledger -> Drill down the respective month
In the below image, you can view the sales bill of Rs 71,250 and it's TDS journal entry
To clear the outstanding : Go to Transactions -> bill wise receipts ( Can also be adjusted in single entry mode receipt screen)
the below image you can notice the sales bill of Rs 71,250 and its
TDS journal entry of Rs 53.44. In this screen we can adjust the bills
#TCS Configurations in AccountsEasy
Config no. 75 under general configuration : Enabling the config "Check and deduct TC (on sale of goods) for cash sales of unregistered customers also?" ,
automatically calculate TCS for cashsales done to GST- unregistered
customers. Please change these configuration with utmost
cautious as it is legal compliance related impacts. Generally, the TCS
compliance & threshold limit will check for all kind of Sale &
receipt transactions. On checking each transactions, may delay few milliseconds while saving your Sales transactions.
If you are Ok to check the threshold limit & compliance check for
the Cash sales made for Walk in (Unregistered) customers also, you
can enable here
Config no. 76 under general configuration : Using this config " Check the limit and apply the TCS based on the transactions values on sales or receipt",
can set whether TCS should be deducted on transaction values of
sales entries or receipt entries. As per TCS rule, the 50 lakhs
threshold limit need to
check based on receipt amount
and applying the TCS liable amount. But, in practical scenarios
customer is willing to mention on Sales value itself.
you want to generate the liability on Sale value itself, you can
mention as SALES. or if you want to generate the TCS liability while
making receipt mark as RECEIPT.
default we have given as SALES for customer convenience. If you are
very sure about it and no TCS you have collected against SALES (or)
You can change this configuration