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As I understand it ITD gives you a 95% chance to hit monsters with a number of exceptions.
1) It doesn't work on Act bosses. (Or if it does it's severely reduced)
2) It works at a reduced effect versons champions and minion bosses/superuniques
3) It's effectiveness is reduced if you aren't within 5 levels of the targets monster level.
yes you still need attack rating in some cases.
yes a 'mage' (pressuming this means a casting character) can use it, but your spells already hit 100% of the time so you don't need it.
I'm sure thats not 100% correct but the general principles are sound.
1) ITD works by effectively setting the target's defense to 0 and taking the attacker's AR out of the chance to hit equation. Note that your chance to hit will not always be 95% because other factors like weapon range, clvl/mlvl, and blocking come into play.
2) ITD only works on normal monsters with white names. Act Bosses, Superuniques, Champions, and other players are immune to its effects.