TCS Calculator

TCS is tax a seller collects from the buyer on listed sales, worked out as the item's rate on the whole sale amount. Liquor, scrap, timber, tendu leaves and minerals have no threshold; motor vehicles and listed luxury goods attract 1% only when the sale exceeds ₹10 lakh. FY 2025-26 follows section 206C of the 1961 Act; FY 2026-27 follows section 394 of the Income-tax Act 2025.

1. The financial year sets the law and the item list: FY 2025-26 uses section 206C of the 1961 Act, and FY 2026-27 uses section 394 of the Income-tax Act 2025.
2. Each item sold has a fixed rate, and some, such as motor vehicles and listed luxury goods, also have a ₹10 lakh threshold.
3. If the item has a threshold and the sale amount is at or below it, no TCS is collected.
4. Otherwise TCS is the rate applied to the whole sale amount, rounded to the nearest rupee.
5. If the buyer has not given a PAN, a higher rate applies under section 206CC (section 397 of the 2025 Act); the calculator shows the normal rate and flags this in a note.

A car dealer sells a car to Rohan for ₹15,00,000 in FY 2026-27. Rohan has given his PAN.

1. Item: motor vehicle, TCS of 1% under section 394, applies above ₹10,00,000.
2. Sale amount: ₹15,00,000, which crosses the threshold.
3. TCS at 1% of the whole ₹15,00,000: ₹15,000.

The dealer collects ₹15,000 of TCS from Rohan on the sale.

TCS on a motor vehicle is 1% of the sale value when the sale value exceeds ₹10 lakh. The rate and threshold are the same in FY 2025-26 under section 206C and in FY 2026-27 under section 394 of the Income-tax Act 2025.

TCS is charged on the full sale value. For items with a ₹10 lakh threshold, such as motor vehicles and listed luxury goods, nothing is collected on a sale of ₹10 lakh or less; above that, the rate applies to the whole amount, so a ₹15,00,000 sale at 1% means ₹15,000.

TCS on scrap is 1% of the sale value in FY 2025-26 under section 206C, and 2% in FY 2026-27 under section 394 of the Income-tax Act 2025. There is no threshold, so it applies to every sale of scrap.

Under section 394, which applies from FY 2026-27, liquor, scrap, timber, tendu leaves, other forest produce and coal, lignite or iron ore attract TCS at 2%, as does the use of a parking lot, toll plaza, or mine or quarry (excluding mineral oil and gas), with no threshold. Motor vehicles and listed luxury goods stay at 1% on sales above ₹10 lakh.

TCS of 1% applies when one of these sells for more than ₹10 lakh: a wrist watch; an antique, painting or sculpture; a collectible coin or stamp; a yacht, rowing boat, canoe or helicopter; a pair of sunglasses; a handbag or purse; a pair of shoes; sportswear or equipment such as a golf kit or ski-wear; a home theatre system; or a horse for racing or polo. The rate and threshold are the same in FY 2025-26 and FY 2026-27.

A higher rate applies when the buyer has not given a PAN. Under section 206CC of the 1961 Act, TCS is twice the normal rate or 5%, whichever is higher; from FY 2026-27, section 397 of the Income-tax Act 2025, the successor to section 206CC, sets the higher rate.