Car over ₹10 lakh? Claim your 1% TCS refund via ITR

• Cars priced above ₹10 lakh attract a 1% Tax Collected at Source (TCS) as per Section 206C(1F) of the Income Tax Act, 1961.
• TCS is collected by the seller to monitor high-value transactions and prevent tax evasion; it applies to new, old, and imported vehicles.
• The 1% TCS amount can be claimed as a refund when filing Income Tax Returns (ITRs).
• To claim, collect Form 27D from the dealer and verify the TCS details in your Form 26AS on the Income Tax e-filing portal before filing your ITR.
• The TCS acts as an advance tax deposit, reducing your tax liability or resulting in a refund if your annual tax burden is lower than the collected TCS.

Why It Matters: Don't miss your 1% TCS refund on car purchases over ₹10 lakh.