NVCC demands withdrawal of TCS

Nag-Vidarbha Chamber of Commerce (NVCC)- the largest organisation representing traders has opposed the new rules and regulation governing collection of TCS from October 1.

NVCC has also demanded that these provisions must be taken back.

President of Nag-Vidarbha Chamber of Commerce Ashwin Mehadia said the government has pushed the traders on the brink of difficulties by introducing 0.1 per cent TCS- instead of helping them in Covid-19 crisis.

This 0.1 per cent TCS in present times is wholly inappropriate, he further said. The traders owing to Covid-19 crisis are facing lots of financial difficulties. It has become difficult for them to not only pay rent of their shops, but also wages of their employees, installments of banks and power bills. Under such conditions, the traders are expecting sops from the government.

However instead of doing that the government is charging TCS from them which is not correct, Ashwin Mehadia further said.

NVCC secretary Ramavatar Totla said following Covid-19 traders are in deep financial crisis. Despite this, the government has introduced 0.1 per cent TCS from October 1.

Earlier, TCS was charged only on some goods. However, the government is going one step further and has charged GST on TCS.

This TCS would be deposited from the account of sellers directly to the government.

The scope of this TCS would expand like service tax in future, hence it should be taken back, Ramavatar Totla added.