TCS on money sent abroad under LRS: 2% or 20% above ₹10 lakh, 2% on tour packages
Estimates only, not financial advice. What you type stays on your device. Checked against sources on 30 Oct 2026.From 1 April 2026, banks collect TCS on money sent abroad under LRS above ₹10 lakh a tax year at 2% for education or medical treatment and 20% for other purposes. Education loans from a financial institution attract none, and overseas tour packages pay 2% of the whole price. TCS counts against your income tax.
FY 2026-27 · Rates and rules read from the sources listed on this page (the earliest on 30 Oct 2026); they may have changed since.
Pick the Purpose of the remittance.
Enter the Amount you are sending and what you have already sent under LRS this tax year.
Choose when it was Remitted, since the rates changed between years.
Read the TCS collected and what leaves your account; the rates are from the Finance Act, 2026, listed under Sources.
A resident individual can send money abroad under the Reserve Bank's Liberalised Remittance Scheme, up to USD 2,50,000 a financial year. When the amount crosses ₹10 lakh in a tax year, the bank collects tax at source (TCS) on the part above it. This calculator works out that TCS by purpose and shows what will leave your account.
The rates from 1 April 2026 are in section 394(1) of the Income-tax Act, 2025, as changed by the Finance Act, 2026:
| Purpose | TCS |
|---|---|
| Education from an education loan | Nil |
| Education from own funds, medical treatment | 2% above ₹10 lakh |
| Investment, gifts, family maintenance, other | 20% above ₹10 lakh |
| Overseas tour package | 2% of the whole price |
The year before. From 1 April 2025 to 31 March 2026, under section 206C(1G) of the 1961 Act, education and medical remittances paid 5% above ₹10 lakh, and tour packages 5% up to ₹10 lakh and 20% above. Pick that year to check a remittance already made.
The threshold is for the year, not each payment. Enter what you have already sent this tax year, and only the part of this remittance above the ₹10 lakh left is taxed. A bank sees only what went through it, so a second bank may collect less; the tax owed is settled in your return either way.
TCS is not lost. Under section 390(5), tax collected and paid to the government counts as tax paid on your behalf. It appears in your tax credit statement, is set off against the year's income tax, and any excess is refunded when you file. It still leaves your account on the day you remit, which is why the total debit matters.
The calculator does not cover the higher rate when no PAN is given, or remitters who are not resident individuals. Figures checked on 29 September 2026 against the Finance Act, 2026 in the Gazette and the Income Tax Department's text of the 2025 Act.
Under section 394(1) of the Income-tax Act, 2025, as amended by the Finance Act, 2026: nil on education loans from a financial institution, 2% above ₹10 lakh for education from own funds or medical treatment, 20% above ₹10 lakh for other purposes, and 2% of the whole price on overseas tour packages.
No, for remittances under the Liberalised Remittance Scheme, whatever the purpose. The ₹10 lakh counts everything sent in the tax year, so a ₹4 lakh remittance after ₹8 lakh already sent is taxed on ₹2 lakh. Overseas tour packages are the exception: from 1 April 2026 the seller collects 2% from the first rupee.
Yes. Section 390(5) treats TCS paid to the government as tax paid on your behalf. It shows in your tax credit statement, is set off against your income tax for the year, and anything above your tax is refunded after you file a return. The calculator shows the TCS collected, not your final tax.
No. Section 394(4)(b) says the bank shall not collect TCS when the amount sent is a loan from a financial institution for pursuing education. Fees paid from your own savings are different: they are charged 2% on the part above ₹10 lakh in a tax year from 1 April 2026, down from 5% before that.
From 1 April 2026 the seller collects 2% of the whole package price, with no threshold, so a ₹3 lakh package carries ₹6,000 of TCS. Until 31 March 2026 the rate was 5% up to ₹10 lakh and 20% above. The bank does not collect TCS again on money the tour seller has already charged it on.
The Reserve Bank's Liberalised Remittance Scheme allows a resident individual up to USD 2,50,000 in a financial year, April to March, for permitted purposes. TCS is a separate question: it is collected above ₹10 lakh in a tax year, well below that limit, and the calculator works it out in rupees.
Rates and rules change; check the source before you rely on a figure.
Still stuck? Ask about LRS TCS Calculator and anybody who knows can answer. No account needed.
Same job, other tools: Marginal Relief Calculator – How marginal relief cuts the tax on income just above ₹12 lakh in the new regime · New Tax Regime Calculator – Tax under the default regime, including the rebate and marginal relief · STCG Calculator – Short-term gains: 20% on listed equity, your own slab rate on everything else.
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