In-sure Services

What is TCS?
TCS is a tax collected by the seller at the point of sale. For car purchases, it applies to vehicles priced above ₹10 lakh. The seller collects this tax from the buyer and deposits it with the government.

Purpose of TCS
The main aim of TCS is to:

- Track high-value transactions

- Reduce tax evasion

- Ensure timely collection of taxes

100 year gold move!

We sometimes assumed that the IFSC of a bank is redundant if the account number and account holder's name match, but it is crucial to have all accurate details.

A good point to remember, to explain to insured while settling a Commercial Vehicle with Nil Deprection and IMT 23, most of agents that too senior agents think that if both IMT 23 and nil deprection covered the claim fully paid but ie. not like, claim settlement will as below method:

EXAMPLE 1:

1) With IMT 23 and Without NIL Dep Add-on:
Part type: Metal
Lets take Depreciation: 20%
Part rate: ₹1000/-
Depreciated amount ₹ 200/-
After depreciation ₹ 800/-
IMT 23 deduction (50%) ₹ 400/-
Net payable: ₹ 400/-

2) With Nil Dep Add-on and IMT 23:
Part type: Metal
Lets take Depreciation: 20%
Part rate: ₹ 1000/-
Depreciated amount ₹ 200/-
After depreciation ₹ 800/-
IMT 23 deduction (50%) ₹ 400/-
Nil. Dep reimbursement ₹ 200/-
Net payable: ₹ 600/-

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EXAMPLE 2:

1) With IMT 23 and without NIL Dep Add-on:
Part type: Plastic
Depreciation: 50%
Part rate: ₹ 1000/-
Depreciated amount ₹ 500/-
After depreciation ₹ 500/-
Imt 23 deduction (50%) ₹ 250/-
Net payable: ₹ 250/-

2.With Nil Dep Add-on and IMT 23:
Part type: Plastic
Depreciation: 50%
Part rate: ₹ 1000/-
Depreciated amount ₹ 500/-
After depreciation ₹ 500/-
Imt 23 deduction (50%) ₹ 250/-
Nil. Dep reimbursement ₹ 500/-
Net payable: ₹ 750/-