29 May 2016
As from 1-6-16 its mandatory to deduct tcs @ 1% on sale of motor vehicle exceeding 10 lac. i have a query that whether tax collected on ex showroom billing price of Rs. 10 lac or above or in other case payment made by customer. suppose a person purchase a car which have ex showroom price of Rs.11 lac but after discount customer paid 9 lac, so, i want to know whether tax collected on billing price or on payment maid by customer.
30 May 2016
The tax would be collected on ex-showroom price. The dealer will have to collect and pay it to the government
As far as I know, all discounts are shown on OTR prices by the dealer and not on ex-showroom prices. This prevents road tax from fluctuating with vehicle discount schemes.
Abhishek Ranjan Singh ARS Solutions www.arssolutions.co.in +919022838615
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