Most firms not ready for new Tax Collected at Source regime: Survey

Around 85 per cent of the responses from a survey of businesses showed they were not completely ready for the new Tax Collected at Source (TCS) regime. The provisions come into effect from October 1.
 
Companies are still putting in place systems and processes, with most of them anticipating issues in the days ahead, according to a survey of over 110 companies conducted by globally tax and consultancy group EY with enterprise application software company SAP India.
 
Four out of five anticipate issues in applicability of the new provisions. They also see challenges related to updating systems and processes for the new regime, according to the survey.
 
Around 81 per cent ‘recognised that reconciling data and ensuring accuracy due to TCS compliances will increase manual intervention for their tax teams,’ said a statement about the survey. The survey was conducted in early September.