TDS Section 206C(1G) — TCS on foreign remittance (LRS) and overseas tour package
FY 2025-26 · Rate 20% above ₹10L (5% for education/medical; 5% for tour above ₹10L)
What does this section cover?
TCS on remittance under LRS and on overseas tour package sold by tour operator.
Why this section: Banks/tour operators collect TCS on outbound forex spends — captures high-value cross-border money flow for ITR reconciliation.
Key facts
- Threshold
- ₹10,00,000 per FY (LRS); ₹7,00,000 carve-out for education/medical (Apr 2025 raise)
- Applicable for
- FY 2025-26
- Who deducts
- Authorised dealer (bank for LRS) / Tour operator
- Paid to
- Remitter / tour package buyer
- Statutory source
- Section 206C(1G), Income Tax Act
Common terms accountants use
If your description mentions any of these, Section 206C(1G) is likely the right answer. The matcher in this tool is a keyword scorer — not an AI classifier — so cross-check borderline cases against the official CBDT TDS rate chart.
Related TDS sections
Other sections in the same series or adjacent. Useful when narrowing down between similar payment categories.
- 206C(1)TCS on sale of alcoholic liquor, scrap, minerals, timber1% (liquor, scrap, minerals) / 2.5% (timber, forest produce) / 5% (tendu leaves)
- 206C(1F)TCS on sale of motor vehicle > ₹10 lakh1%
- 206C(1H)TCS on sale of goods (seller-side, counterpart to 194Q) — INAPPLICABLE from 1 April 20250.1% (withdrawn 1 Apr 2025)
Need a different section?
Describe the payment in plain English — “rent of plant”, “senior citizen interest”, “NRI dividend” — and the matcher will surface the right section.
Search TDS sections →Source: curated from the CBDT TDS rate chart. Dataset snapshot: 2025-04-01. Rates can change between Finance Acts and notifications — verify before deducting.