Tax Collected at Source (TCS) on Foreign Remittances in India

When an individual sends money abroad, the transaction may attract Tax Collected at Source (TCS), commonly referred to as foreign remittance tax in India. As per Section 206C(1G) of the Income Tax Act, 1961, banks and other Authorized Dealers (ADs) are required to collect TCS at the prescribed rates at the time of transferring funds…