Outbound Tour TCS Calculator
Section 206C(1G) · International tour packages · Budget 2024 rates
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All amounts in Indian Rupees (₹)
TCS Breakdown
Enter a package cost to see the calculation.
Frequently Asked Questions
- What is TCS on overseas tour packages?
- TCS (Tax Collected at Source) under Section 206C(1G) is a tax that tour operators must collect from clients when selling outbound international tour packages. The operator deposits this with the government on behalf of the traveller. Since Budget 2024, the rate for tour packages is a flat 2% on the entire package value from the first rupee, regardless of whether the client has a PAN.
- What is the TCS rate on international holidays in 2026?
- For organised outbound tour packages sold by a tour operator, the TCS rate is 2% flat under Section 206C(1G) — effective from October 2023 and continuing in 2026. This is distinct from the LRS (Liberalised Remittance Scheme) route, where the rate is 0.5% up to ₹7 lakh per financial year (with PAN) and 5% above ₹7 lakh.
- Can the traveler claim TCS as a refund?
- Yes. TCS is a tax credit, not an additional expense. The traveller can claim the entire TCS amount as a credit against their total income tax liability when filing their ITR (Income Tax Return). If their total tax payable is less than the TCS already paid, they will receive a refund of the excess amount from the Income Tax Department.
- Does TCS apply to domestic Indian tour packages?
- No. Section 206C(1G) applies only to overseas (outbound international) tour packages. Domestic Indian tour packages — including Jammu & Kashmir, Leh-Ladakh, and the Andaman Islands — are not subject to TCS under this section. GST is applicable on domestic packages as usual.
- How is TCS different from GST for travel agents?
- GST (Goods & Services Tax) is a consumption tax on the service value that the client pays and the agency remits to the government as an indirect tax. TCS is an income-tax advance collected from the client at the point of sale and credited to their PAN — it reduces their year-end income tax bill. Both can apply to the same transaction: GST on the package value, and TCS (2%) on the same value. The two are calculated independently and shown separately on the invoice.