The 60-second version
Section 206CI requires tendu-leaf seller to collect TCS on sale consideration — returning NRIs operating beedi-leaf depot in Chhattisgarh, Odisha, or MP must file Form 27EQ quarterly.
Tendu TCS is seasonal — align collection calendar with state auction and transit pass windows
Section 206CI applies when you sell tendu leaves for consideration — buyer PAN mandatory for TCS credit.
Returning NRIs restarting family tendu depot in forest-belt states need TAN and Form 27EQ before first auction season ends.
Timber lane: Section 206CJ guide for sawn timber TCS.
206CI matrix
| Product | Compliance | Form |
|---|---|---|
| Tendu leaves | Transit pass | 27EQ |
| Auction lot | PAN + TCS | 27EQ |
| Non-filer buyer | 206CCA rate | 27EQ |
| State forest fine | Separate | Forest dept |
Compliance
Forest pass
State transit permit.
TAN
Apply if new depot.
Buyer PAN
Collect each lot.
Collect TCS
206CI or 206CCA.
File 27EQ
Quarterly.
Flow
206CI kit
- TAN.
- Transit pass.
- Buyer PAN.
- 27EQ.
- Weighment register.
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Seasonal auction
Tendu collection is state-auction driven — TCS deposit deadline may fall mid-quarter; file 27EQ before due date regardless of auction close.
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206CI vs GST?
Tendu leaves are typically outside GST — TCS is income-tax collection on sale.
206CCA?
Higher TCS if buyer failed prior ITR filing.
Beedi factory?
Factory purchase may still trigger 206CI on seller side — verify with CA.
RNOR?
Collection obligation applies if you hold active tendu trader license.
Penalty?
Section 206CA if TCS not collected or deposited.
MP vs CG?
State forest rules differ — transit pass format is state-specific.
Your tax year is already running.
RNOR status, exit timing, and DTAA benefits all depend on decisions you make before you land. Don't guess.