Applying TCS on Transactions
After you've finished setting up Tax Collection at Source (TCS), you can calculate it for items that are eligible. You can calculate TCS on invoices and cash sales.
When you select an item that's eligible for TCS in a transaction, the line item displays the following:
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The Apply TCS box is checked by default. To exclude an item from TCS, clear the box. If you try to calculate TCS for an ineligible item, the SuiteApp gives you an error.
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The item's subsection and challan codes automatically populates on line items. These codes also show up on TCS-eligible items when invoices are converted from sales orders.
You can't use the Apply TCS box for cash sales.
If you don't create an invoice through the UI, you'll need to manually check the Apply TCS box for eligible items. The subsection and challan codes only populates if the box is checked.
To exclude an item from TCS, clear the Apply TCS box and remove the subsection and challan codes from the line item in the UI.
To view TCS tax details, click the Tax Details subtab on a transaction.
Before you apply TCS to transactions, keep these points in mind:
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If you edit an item's amount in a cash sale, the accumulated bucket amount for its subsection code won't change, and neither will the TCS calculated.
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If you edit invoices or cash sales where TCS is applied, the TCS calculation may be inaccurate.
To apply TCS on a transaction:
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Go to an invoice or cash sale transaction.
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Click the Items subtab.
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Select an item. If TCS applies, the section code, subsection code, and challan code fill in automatically.
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(Optional) To exempt the item from TCS, clear the Apply TCS box.
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Click Add to add the item.
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Complete other details as required.
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To preview tax, click Preview Tax.
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Click Save.
When you preview tax, you can view TCS information in the Summary and on the Tax Details subtab. TCS is calculated on the item's gross amount, which includes the item's amount plus GST.