# Section 206C(1G) - TCS on Foreign Remittance/Tour Package
## Mechanism
Collectee: Resident person sending money outside India (under LRS of RBI) or purchasing overseas tour program package
Collector: Authorised dealer
## TCS Rates Summary
| Purpose | Up to ₹10 Lakhs | Above ₹10 Lakhs |
|---|---|---|
| Education or Medical | 0% | 5% on excess |
| Education funded by loan from FI | 0% (up to ₹7L) | 0.5% (above ₹7L) |
| Other Purposes | 0% | 20% |
| Overseas Tour Program Package | 5% | 20% |
## CBDT Guidelines
1. No TCS on expenditure through International Credit Card while being overseas
2. Threshold of ₹10 lakhs is a combined threshold for TCS on LRS (Education + Medical + Other Purpose → combined limit ₹10 lakhs)
3. Threshold of ₹10 lakhs for LRS is counted remitter-wise, NOT authorised dealer-wise
4. TCS u/s 206C(1G) is NOT applicable to a Non-Resident who has visited India during the P.Y.
## Definitions
### Education Purpose Includes:
- Travelling fees
- Tuition fees
- Day-to-day expenses
### Medical Purpose Includes:
- Travelling expenses (patient + attendant)
- Treatment expenses
- Day-to-day expenses
### Overseas Tour Program Package
Package should include at least TWO of the following:
1. International travel ticket
2. Hotel accommodation (with or without food)/boarding/lodging
3. Any other expenditure of similar nature or in relation thereto