GST Council proposes 2% TDS on scrap deals
In short
The GST Council has proposed a 2% TDS on scrap deals. The plan covers plastic waste, old tyres, electrical and electronic scrap, and used cooking oil. Registered buyers would deduct TDS from registered suppliers and pay GST under reverse charge for unregistered sellers.
This matters for scrap traders, buyers, and tax collection. It is not stated whether the proposal is final or when it would begin.
What the reporting says
The GST Council proposed a 2% TDS on scrap deals covering plastic waste, discarded tyres, electrical and electronic scrap, and used cooking oil. The reporting says registered buyers would deduct TDS when buying from registered suppliers and pay GST under reverse charge when buying from unregistered sellers, even below the registration threshold. Whether the proposal is approved and when it starts are not stated.
Why it matters
The GST Council proposed a 2% TDS on scrap transactions involving plastic waste, discarded tyres, electrical and electronic scrap, and used cooking oil. Under the proposal, registered buyers would deduct TDS from registered suppliers and apply reverse charge GST on purchases from unregistered sellers. The reporting does not say whether the levy is approved or when it would take effect.