REGARD TCS

[Asked by Guest]

Dear Sirs,

An Automobile Dealer Purchase a Vehiclle From company for purpose of resale and its value more than 10 lac can COMPANY CHARGE TCS ON PURCHASE BY DEALER .

EXAMPLE :

A: DEALER

B: COMPANY

INVOICE GENRATE BY A ARE IS UNDER

BASIC VALUE : 929698

EXCISE 117374

VAT 169103

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TOTAL 1204133

TCS 12042

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INV.VAL 1216175

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This method is Correct ?

can Dealer save 1% tcs against present 27C FORM ?

[Ganeshan Kalyani]

Sir this is not applicable if manufacturer sell car to dealer / distributor. It is applicable if car is sold to a individual. A person who is liable to maintain books under Sec 43AB and and sell car to an individual then he need to deduct TCS.

AI Summary

TCS applicability: not leviable on manufacturer-to-dealer sales; applies when a Sec 43AB seller sells to an individual and must collect tax.
The response states that TCS is not applicable where a manufacturer sells vehicles to a dealer or distributor; TCS applies only where a person required to maintain books under Sec 43AB sells a vehicle to an individual, in which case TCS must be deducted.