Section 206C(9) — the law in short
What the courts have decided on section 206C(9), in one screen. Read this first; open an entry when you need the facts, the reasoning and the source.
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Statutory position — s.206CC: the higher TCS rate where the collectee gives no PAN, and the twenty per cent cap
CBDT Circulars & InstructionsCuts both ways
My buyer will not give me his PAN. At what rate do I have to collect, and is there any ceiling?
Section 206CC(1) requires a collectee to furnish his PAN to the collector, failing which tax is collected at the higher of twice the rate specified in the relevant provision and five per cent. A proviso caps the rate: 'the rate of tax collection at source under this section shall not exceed twenty per cent.' That cap matters most on s.206C(1G), where twice the twenty per cent rate would otherwise produce forty per cent.
Listed strongest first: Supreme Court, then High Court, then Tribunal, then CBDT. Nothing here has yet been read in full by a chartered accountant — open an entry to see where it came from.