A TCS calculator for foreign remittance, tour packages and cars (2026-27)
Banks collect tax at source (TCS) when you send money abroad under the Liberalised Remittance Scheme, tour operators collect it on overseas packages, and car dealers collect it on cars over ₹10 lakh. This TCS calculator shows how much will be added for tax year 2026-27, on which part of the amount, and under which provision of the Income-tax Act, 2025.
It uses section 394 as amended by the Finance Act, 2026, from 1 April 2026: 2% on education and medical remittances above ₹10 lakh, 20% on other remittances above ₹10 lakh, a flat 2% on tour packages and 1% on cars over ₹10 lakh. Goods such as scrap and liquor, the no-PAN rate and the manufacturing declaration are covered too. It is an estimate, not tax advice.
How to use the TCS Calculator (Foreign Remittance, Tour Package, Car)
- Choose what the payment is for — an LRS remittance (education, medical or other), a tour package, a car or other goods.
- Enter the amount. For a remittance, also enter what you have already sent abroad under LRS since 1 April.
- Untick the PAN box if no valid PAN was given; for goods such as scrap, tick the declaration box if the buyer will use them in manufacturing.
- Read the TCS, the rate, the amount it is charged on and the total you will pay.
- Open the rate chart to compare all receipts, or copy the calculation for your records.
TCS Calculator (Foreign Remittance, Tour Package, Car) features
Threshold maths
Charges TCS only on the part of the year’s LRS total above ₹10 lakh, and shows how much you can still send without TCS.
Every 2026-27 rate
All nine rows of the section 394(1) table, with the old 1961 section next to each.
No-PAN rule
Twice the rate or 5%, whichever is higher, capped at 20% — section 397(2).
Exclusions built in
Education-loan remittances, the manufacturing declaration and tour packages already taxed by the operator.
Your own rate
Enter a rate from a lower-collection certificate or a later change.
TCS rates for tax year 2026-27
The old rates are those the Finance Act, 2026 replaced, as recorded in the footnotes of the official text of the Act.
| Receipt | Rate from 1 April 2026 | Rate before |
|---|---|---|
| LRS — education or medical, above ₹10 lakh | 2% | 5% |
| LRS — education from a financial-institution loan | Nil | Nil |
| LRS — other purposes, above ₹10 lakh | 20% | 20% |
| Overseas tour programme package | 2% from the first rupee | 5% up to ₹10 lakh, 20% above |
| Car or notified goods over ₹10 lakh | 1% of the whole price | 1% |
| Alcoholic liquor, scrap, coal, lignite, iron ore | 2% | 1% |
| Tendu leaves | 2% | 5% |
| Parking lot, toll plaza, mine or quarry | 2% | 2% |
Worked example: TCS on foreign remittance
You paid a university ₹8 lakh in May and now send ₹5 lakh more for education. The year’s total reaches ₹13 lakh, so ₹3 lakh is above the limit: TCS = 2% × ₹3,00,000 = ₹6,000, and the bank debits ₹5,06,000. Sent for investment or gifts instead, the same ₹3 lakh would attract 20% — ₹60,000. Without a PAN the education rate becomes 5% (twice 2% is only 4%).
TCS is collected when the bank debits your account or receives the money, whichever is earlier, and is credited to your PAN. You claim it against your tax for the year when you file your return. Plan large remittances with the advance tax calculator and look up old section numbers with the section mapping tool.
Limits and things this tool does not cover
- There is no TCS on ordinary sales of goods any more — the old section 206C(1H) has no row in the 2025 Act’s table. Purchases may instead attract TDS; see the TDS calculator.
- Notified luxury goods over ₹10 lakh share the 1% car row; check the current notification for the list.
- Non-residents without a permanent establishment in India are not charged the higher no-PAN rate; that case is not modelled.
TCS Calculator (Foreign Remittance, Tour Package, Car) FAQ
How do I use the TCS calculator for foreign remittance?
Choose the LRS purpose, enter the amount you are sending and what you have already sent since 1 April, and read the TCS. Only the part of the year’s total above ₹10 lakh is taxed.
What is the TCS on foreign remittance for education in 2026-27?
2% of the amount above ₹10 lakh in the tax year, down from 5%. Nothing is collected if the money comes from an education loan from a financial institution.
Is there TCS on an overseas tour package below ₹10 lakh?
Yes. From 1 April 2026 tour packages carry a flat 2% from the first rupee — the ₹10 lakh split and the 20% rate were removed.
How much TCS is charged on a car above ₹10 lakh?
1% of the whole price, collected by the seller. A car priced at exactly ₹10 lakh or less has no TCS.
Can I get TCS back?
Yes. It is an advance payment of your income tax: claim it in your return, and any amount above your tax is refunded.
Which section covers TCS under the Income-tax Act 2025?
Section 394. Its table replaces section 206C of the 1961 Act — for example the old 206C(1G) is now Sl. No. 7 (LRS) and Sl. No. 8 (tour packages).