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International-payment utility

LRS and Overseas Tour TCS Calculator — Tax Year 2026–27

Reviewed by Finin2min Editorial Desk · Last reviewed 11 August 2026

Calculate current-year TCS for education, medical, other LRS remittances and overseas tour packages under section 394.

Calculate TCS on overseas payments

Indicative TCS

This calculator uses Income-tax Act, 2025 rates effective from 1 April 2026.
Current payment subject to base-rate TCS
Indicative TCS
ComponentResult
Base rate
Aggregate after current payment
Net cash outflow including TCS

How This Is Calculated

TCS on LRS remittances and overseas tour packages is applied incrementally — computed on the amount by which cumulative remittances (prior plus current) exceed the applicable TCS threshold, not retroactively on the entire cumulative amount, so an earlier remittance already taxed isn't taxed again.

Frequently Asked Questions

Is TCS charged on the full remittance or just the amount above the threshold?
Only on the incremental amount above the threshold — if your cumulative remittances for the year were already above the threshold from a prior transaction, TCS applies to the new remittance amount in full; if this transaction is what pushes you over the threshold, TCS applies only to the portion crossing it.
Can TCS collected on foreign remittance be claimed back?
Yes — TCS collected is not a final tax, it's credited against your total tax liability when you file your ITR, similar to TDS. If your total tax liability is lower than the TCS collected, you can claim a refund of the excess.

Source and review trail

Use the current official instrument, portal or regulator publication before acting. This panel separates the category authority from page-specific references.

Official starting point
www.incometaxindia.gov.in

Methodology, assumptions and sources

Scope: Computes Tax Collected at Source (TCS) on Liberalised Remittance Scheme (LRS) remittances and overseas tour packages under Section 206C(1G) of the Income-tax Act.

Calculation logic

  1. For LRS remittances (other than for education financed by a loan, or medical treatment): TCS applies at the currently prescribed rate on the amount remitted in excess of the currently prescribed threshold (₹7,00,000/year aggregate) — below the threshold, no TCS applies; above it, TCS is collected on the excess amount.
  2. For education remittance financed by an education loan from a specified financial institution: a lower, currently prescribed concessional TCS rate applies on the excess over the threshold (rather than the general higher rate applicable to other LRS purposes).
  3. For overseas tour packages: TCS applies at the currently prescribed rate from the first rupee (no threshold exemption for tour packages specifically, unlike general LRS remittances), collected by the seller of the overseas tour package.

Inputs and assumptions

Exclusions and edge cases

Sources

Review status: reviewed and approved by CA Nikhil Gupta on 10 July 2026.

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Guides that use this calculator

Background, worked examples and the rules behind these numbers.