As per section 206C(1G), the TCS would be applicable on all foreign travel related expenditure. The overseas tour package has been defined to include more than one travel product sold to passengers for traveling outside India. The travel agent / Guest would be required to collect/Pay TCS on the overseas tour package as well as a single travel product at the rate mentioned below:

The overseas tour package is defined as to mean any tour package which offers visit to a country or countries or territory or territories outside lndia and includes expenses for travel or hotel stay or boarding or lodging or any other expenditure of similar nature or in relation thereto.

It is clarified that purchase of only international travel ticket or purchase of only hotel accommodation, by in itself is not covered within the definition of 'overseas tour program package'. To qualify as 'overseas tour program package', the package should include at least two of the followings:-

(i) international travel ticket,

(ii) hotel accommodation (with or without food)/boarding/lodging,

(iii) any other expenditure of similar nature or in relation thereto

No. The threshold of Rs 7 lakh, for the TCS to become applicable on LRS, applies for the full financial year. lf this threshold has already been exhausted; all subsequent remittances under LRS, whether in the first half or in the second half, would be liable for TCS at applicable rate.

Yes, Agent / Guest will have an option to enter multiple PAN of passengers in the booking page and mention the ratio of TCS apportionment.

No, TCS is fully adjusted against Income Tax liability of the passenger for the respective financial year and it will not be additional cost to passenger.

Yes, We would require the proof of deposit of TCS along with TCS certificate at the end of every quarter for the booking exceeding 7 lac . However, travel agent is requested to ensure the ready availability of TCS certificate along with any other documents as may be required time to time.

The PAN entered should be valid and operative. The PAN entered must belong to the traveller/ Corporate as applicable (not the PAN of travel agent)

As per the Government guideline the deadline to link PAN with Aadhaar was 30th June 2023, post which for any individual who has failed to link their PAN-Aadhaar, PAN has become inoperative. Hence, it is requested to ensure that the PAN is linked with Aadhaar

Yes, you must obtain the following declaration from the traveller:

• Declaration from the traveller mentioning the quantum of LRS limit against his/her PAN used by the traveller during the current financial year


• Declaration from the traveller that the LRS limit against his/her PAN used by the traveller during the current financial year has not exceeded the limit of USD 250,000 or limit approved by RBI.


• Declaration must be taken from passenger whose PAN details is mentioned while booking that his LRS limit would be utilised for the travel of other passengers. This declaration would be applicable only in case of multiple travellers booked with Single/ Multiple PAN


• Declaration from corporate in case of corporate booking that Corporate has authorised the Travel Agent to undertake the booking and the travellers are the employee of the corporate for whom the expense would be borne by such corporate