Onus on taxpayers to make correct declaration about LRS remittances

TCS on LRS will also apply to remote education and medical consultancy

In this year's budget, the government had announced certain changes to the collection of tax collection at source (TCS) on payments under the liberalised remittance scheme (LRS) and on overseas tour programme packages. These changes were to take effect from July 1, 2023. In March 2023, the government had further announced that credit card payments would be brought under LRS.

On June 28, 2023, the government postponed the introduction of the revised TCS rates until October 1, 2023. The inclusion of credit card payments under LRS has also been postponed until further notice.

The latest notifications have brought relief to