If you are buying a foreign tour package from a travel agent, you have to pay a tax collection at source (TCS) of 20 per cent from July 1, 2023. Budget 2023 has hiked the TCS rate for foreign remittances under the LRS from 5 per cent to 20 per cent (except for education and medical purposes). With this sharp rise in TCS, foreign trips are likely to become costlier soon.
