M M FABRICS SOURCING LLP

HOUSE NO 54, 96 MARUTHI COLONY, CAR STREET,

BELLARY-583101.
Traders_mm@rediffmail.com, mob:-9243239291
DATE: 01/07/2021
To,
PAN: AAICP9484G
PSK DENIMS PRIVATE LIMITED
AHMEDABAD-GUJRAT.

Sir/ Madam,

Sub: Intimation of deduction of tax at source @0.1% under New Section 194Q wef
1st July,2021.

We wish to bring to your kind notice that the GOI has introduced a new Section 194Q for
deduction of tax at source @0.1% on purchase of goods where the value exceeds Rs.50
lakhs during the financial year which is similar to Section 206C(1H) introduced in earlier
financial year. These new provisions are applicable from 1st July,2021.

As per new Section the primary responsibility lies on the purchaser to deduct the tax. We
are obliged to deduct the taxes at the time of booking the invoice or at the time of
making the advance payment, wherever applicable. To this extent the provisions of old
Section 206C(1H) are in operative.
Hence, we advice you not to add/collect TCS in tax invoice while purchasing
goods from you from 1st July,2021.

And also request you to provide declaration that you have filed Income tax Returns for
the last two financial years as per new Section 206AB. (Specimen is enclose)
Your compliance of the new section is highly appreciated.
For any further clarification please feel free to contact the under signed.

Thanking You,

Yours faithfully,
For MM FABRICS SOURCING LLP
Mobile:9243239291
E Mail:traders_mm@rediffmail.com