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Home e-commerce Amazon How to deal with Amazon Form 16A - TDS Certificate u/s 194-O

How to deal with Amazon Form 16A – TDS Certificate u/s 194-O

How to download your TDS certificate on Amazon India?

Are you selling on Amazon India? If your answer is affirmative, then follow the below-mentioned steps to download your TDS certificate.

Step 1: Log in to Seller Central

Online seller has to login to their seller central panel using their unique ID and password.

amazon central seller tds certificate

Step 2:

Navigate to reports, then select “Tax Document Library” where you can see tab stating “194-O TDS Certificate”

tax document library
section 194-O tds certificate

Note:

The seller with HUF/Individual PAN, who do not cross the threshold limit of Rs. 5 Lakh throughout the financial year, no TDS will be deducted and there is no point of issuing Form 16A for those sellers and upon crossing the threshold limit TDS will get deducted as per section 194-O and Amazon will issue Form 16A for the full financial year accordingly.

Details of Form 16A will get reflected under seller’s Form 26AS.

As per the recently introduced TDS provision under section 194-O of the Income Tax Act,1961, e-commerce is required to deduct the tax at source on e-commerce participants.

E-Commerce operator is required to issue Form 16A certificate on the deduction of TDS by Amazon on a quarterly basis in order to comply with Income Tax provisions.

Form 16A u/s 194-O will contain the details of TDS on various transactions that occurred between the deductor i.e. the ECO (Amazon India) and the deductee (Online seller).

By when TDS certificate will be made available to the online sellers?

QuarterPeriodIssue of Form 16A u/s 194-O by
1stApril to June15th August
2ndJuly to September15th November
3rdOctober to December15th February
4thJanuary to March15th June
due date for issuing form 16A tds certificate

Form 16A will include the details such as Name, PAN & TAN of the deductor, Name & PAN of the sellers, Nature of payment, the amount paid and the date of the payment, receipt number, and the TDS rate applied by Amazon.

If an online seller is selling on multiple e-commerce platforms, they can view and check all the Form 16A details via Form 26AS available on Income Tax Portal.

Amazon Form 16A Form 2AS

FAQ:

Q1: What is Amazon Form16A?

Ans: As per the recently introduced TDS provision u/s 194-O, the E-Commerce operator is required to deduct the TDS on ECP i.e. Ecommerce participants. In order to comply with the TDS provision, Amazon is required to submit its TDS return and to issue Form 16A to every online seller on whom there is the applicability of TDS u/s 194-O.

Q2: Is this TDS to adjust from GST or Income Tax?

Ans: Income Tax

Q3: How to claim Amazon TDS – Form 16A?

Ans: TDS deducted by Amazon will get reflected in the Assessee’s Form 26AS and they can avail such credit while filing the Income Tax Return for the respective Assessment Year.

Q4: What kind of information is available to the Income Tax Department with Amazon TDS Certificate?

Ans: Amazon has deducted the portion of TDS from the aggregate sale amount. TDS u/s 194-O

If 0.75% of the TDS amount is Rs. X, then with the reverse calculation they will get to know the 100% of your sales amount.

Taxpayers are now to be more cautious while filing their ITR for the respective AY, as wrong reporting of your sales information will lead you to some legal repercussion.

Q5: Will Amazon issue Form 16A to every seller?

Ans: No, Amazon will deduct TDS u/s 194-O and issue Form 16A only in those cases where section u/s 194-O will get attracted. If any seller is outside the ambit of section 194-O then there will not be any levy or applicability of TDS provisions.

Know more about:

How to file a TDS claim on Amazon and check TDS reimbursement


How to file GSTR-3B for amazon sellers

CA Devesh Thakur

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4 COMMENTS

  1. How to old Tds Certificate Download for Example:April-20 to Jun-20 ,Jul-20 to Sep-20 because old certificate not show on Amazon portal.

    • Dear Bina Patel,
      Section 194-O is applicable from 1st October 2020, hence there will be no TDS Certificate for the period mentioned by you. Henceforth you will be able to see the TDS Certificate U/s 194O from Q3 FY 2020-21 onwards.

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