How to handle Tax Collection at Source (TCS) in NetSuite.

Tax collected at source (TCS) is the tax payable by a seller which he collects from the buyer at the
time of sale. Section 206C of the Income-tax act governs the goods on which the seller has to collect
tax from the purchasers.

For now, NetSuite didn’t provide tax collection at source with suitetax engine. So, we have to
customize a solution that will be suitable with India suitetax engine.

For TCS implementation in NetSuite:

1. We have created a service Item to map TCS GL.

2. We have created a checkbox 'Apply TCS' on invoice, which indicate that on this invoice will
use TCS.
3. Now for apply TCS, check the “Apply TCS” filed and check the “TCS TAX PERCENTAGE” filed
for tax percentage of TCS.

4. After saved the invoice a button will appear on invoice by name “Apply TCS”.
5. We have created a workflow which will use to add button on saved invoice if apply TCS
checkbox is checked.
6. We have created a script, which will run the calculation and set the TCS item on invoice with
TCS amount.
7. When user click on the button, workflow will run the script and add the item on invoice with
calculated TCS tax amount.

8. A filed "TCS Amount' field have been created on invoice which will hold the TCS amount.