A loan sanction letter is an official document issued by your loan provider indicating the terms and conditions of the loan as well as basic details such as the loan borrower’s name and the amount of the loan.
When paying via Domestic Bank Transfer in INR through our local partner Lulu Forex, if TCS is applicable, you will be taxed at 5.0% for the payment. However, if you provide a loan sanction letter upon initiating your payment request, Lulu Forex will contact you within 3 business days to inform you of the tax reimbursement.
If you do not submit a loan sanction letter to Lulu Forex, you may claim the excess tax amount from the tax authorities when filing your annual tax return.