TCS on foreign remittance calculator
When you send money from India under the Liberalised Remittance Scheme (LRS), the bank collects Tax Collected at Source (TCS) on the part above the ₹10 lakh yearly threshold. Enter an amount, financial year and purpose to see the rate applied, the TCS payable, and the amount that reaches Australia in AUD. TCS is a prepaid tax you can claim back — not a fee.
Course fees or medical treatment paid without a qualifying education loan.
The LRS annual cap is $250,000 per person per financial year. This remittance is about $15,625 — within the cap. USD comparison uses an indicative 1 USD ≈ ₹96; the cap is set in USD by the RBI.
| Amount remitted | ₹15,00,000 | $21,946 |
| TCS-free threshold (FY2026-27)Aggregate across all LRS remittances this financial year | ₹10,00,000 | $14,631 |
| Amount subject to TCS (above threshold) | ₹5,00,000 | $7,315 |
| TCS rate appliedEducation or medical — self-funded | 2% | |
| TCS collected upfront | ₹10,000 | $146 |
| Amount received in AustraliaTCS is collected on top — it does not reduce what reaches the beneficiary | ₹15,00,000 | $21,946 |
| Total you pay in India (amount + TCS) | ₹15,10,000 | $22,092 |
| Effective TCS rate (TCS ÷ amount) | 0.67% | |
AUD shown at 1 AUD ≈ ₹68.35 (RBA) — rate as of 8 Sept 2026. Exchange rates move daily.
TCS is not a fee. It is a prepaid tax the bank collects at the time of remittance and deposits against your PAN. You can generally claim it back as a credit against your Indian income tax, or as a refund, when you file your return. The full amount you remit still reaches the beneficiary in Australia.
Rates and assumptions
Rates as at 15 Jul 2026 — sources: incometaxindia.gov.in and RBI (LRS cap). India's TCS-on-LRS rules changed at the 2025 and 2026 Budgets — confirm the current rates before relying on this calculator.
- • Statutory basis: section 206C(1G) of the Income-tax Act 1961, recodified as section 394(1) of the Income-tax Act 2025 from 1 April 2026 (the 2025 Act replaced the 1961 Act; a renumbering — the rates are unchanged by it).
- • TCS-free threshold: ₹10,00,000 aggregate across all LRS remittances per PAN per Indian financial year. TCS applies only to the amount above the threshold.
- • Education funded by a qualifying (s80E) education loan: nil TCS at any amount, both years shown.
- • Self-funded education & medical above the threshold: 5% in FY2025-26, 2% from FY2026-27.
- • Investment, gift, maintenance of relatives and self-arranged travel above the threshold: 20%.
- • Overseas tour packages: no ₹10L threshold — a reported 2% from the first rupee in FY2026-27 (confirm before relying); in FY2025-26, 5% up to ₹10L then 20% above.
- • The Income-tax Department's own TCS explainer PDF still shows the older FY2025-26 rates; the FY2026-27 figures here follow the Finance Act 2026 text, not that not-yet-updated PDF.
- • Current selection: Education or medical — self-funded, FY2026-27 — 2% above the ₹10L threshold (effective 2026-04-01).
- • Budget 2026 cut self-funded education & medical from 5% to 2% above ₹10L.
- • The LRS annual cap (USD 250,000/FY) is set in USD by the RBI; the USD comparison above uses an indicative 1 USD ≈ ₹96.
