Income-tax Rules, 2026 | Rule 207 of 333

Rule 207 - Exchange rate for tax deduction on foreign-currency income

Reviewed by CA Nikhil Gupta · Last reviewed 30 August 2026

Local extract available Legacy mapping: 26

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207Rule number

1219Local text characters

0Linked Forms

For the connected rule or filing step, see Rule 52 - Rate of exchange for conversion of rupees into foreign currency and reconversion of foreig.

Source and status control

Primary authority: Notification No. 22/2026 / G.S.R. 198(E)

Currentness control: Base Rules effective 1 April 2026. Check later amendments, corrigenda and portal implementation before action.

Local statutory extract - official source controls

Rule text held in the production corpus

TDS foreign currency exchange rate. 207. (1) For the purpose of deduction of tax at source on income payable in foreign currency as specified in sub-rule (2), the rate of exchange for calculating the value in rupees shall be the telegraphic transfer buying rate of such currency as on the date on which the tax is required to be deducted under Chapter XIX-B of the Act; where the telegraphic transfer buying rate is not published on that date, the last such published rate may be taken. (2) Sub-rule (1) applies to income payable to an assessee outside India, to a Unit in an International Financial Services Centre, or by a Unit in an International Financial Services Centre to an assessee in India. (3) For the purposes of this rule— (a) "International Financial Services Centre" has the meaning given in section 2(q) of the Special Economic Zones Act, 2005; (b) "telegraphic transfer buying rate" means the rate of exchange adopted by the State Bank of India for buying such currency, where that currency is made available to the Bank through a telegraphic transfer, in accordance with Reserve Bank of India guidelines; and (c) "Unit" has the meaning given in section 2(zc) of the Special Economic Zones Act, 2005.

Local extract SHA-256: 16e57c6ed2d5e8e82bfea298710d7c554207344ff48565a519c2c68233a70640. This hash authenticates the local extract only; it does not certify that every amendment, table or Gazette footnote has been consolidated.

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Official starting point: www.incometaxindia.gov.in