The festive season is here and many people believe this period to be auspicious for making high-value purchases. These could include jewellery, bullion and motor vehicles. If you are planning to buy any of these, you may have to shell out 1% over the selling price. This would be towards tax collected at source (TCS), and the seller is mandated to collect it from you, if it needs to be collected. But in many cases, this money will come back to you.
The rule
The scope of TCS has been expanded to curb tax evasion and black money transactions.
