Vote down Reasons
Did banks start charging 20% TDS already or will it happen in April? I wonder why nobody is talking about it as it simply means if you invest 1000$ in US stocks, you will pay 200$ just to gov. Even if you try to keep track of international transactions to claim deductions, it will be a mess. We were worried about markup and now this. There is no lower limit on this 20% TDS so even if you do 1rs transaction, it will have 20% TDS.
Edit: Source : https://www.indmoney.com/articles/budget-2023-t...
Finance
W.r.t. Keeping a record of these transactions, its much easier these days with 26AS being made highly functional.
neocortex wrote:
Those finer details of those rules are not finalised yet.
I fail to grasp the Even if you try to keep track of international transactions to claim deductions, it will be a mess. part though.
Especially if you are trading in cryptos and other investment apps.
kukdookoo wrote:
Afaik for outside remittances above 7 lakhs a year,5% tcs was there.have they changed it? @getready @guest_999
Changed it.
androgame wrote:W.r.t. Keeping a record of these transactions, its much easier these days with 26AS being made highly functional.
+1
also since two or threes years we can download complete financial data of Person ( AIS ) , using income tax website.. like how FD Income (NOT TDS) and from which bank etc..
wow. daylight robbery.
Kochiro wrote:But this can be claimed back as refund? "The money deducted by the banks in taxes as TCS can be adjusted against your overall tax liability. This TCS can be claimed as an income tax refund or a credit can be availed at the time of filing the income tax return or for computing your advance taxes."
Isko koi pyaaz khilao 😡
Thread title needs a change. This is for outward remittances
Edit: Seems tcs applicable on online/offline debit/credit/forex card payments too (with few exceptions like Medical and education)
insta wrote:
But this can be claimed back as refund? "The money deducted by the banks in taxes as TCS can be adjusted against your overall tax liability. This TCS can be claimed as an income tax refund or a credit can be availed at the time of filing the income tax return or for computing your advance taxes."
What if you are under 5-7 lacs ?
Can anybody confirm Is this true? I have a few SIP's going in Indmoney us stock & it will be pretty big hit and would have to stop it instantly if true
OP can you share an reference article on same?
Drdrake wrote:Can anybody confirm Is this true? I have a few SIP's going in Indmoney us stock & it will be pretty big hit and would have to stop it instantly if true
OP can you share an reference article on same?
https://www.indmoney.com/articles/budget-2023-t...
The Union Budget 2023 proposes a Tax Collection at Source (TCS) for foreign outward remittance under LRS (other than for Education and medical purpose) of 20% applicable from July 1, 2023. This will come into effect after the bill is passed. Before this proposal, the TCS of 5% was applicable on foreign outward remittances above INR 7 lakhs.
legend101 wrote:So upto 7L remittance it will be 5% or income upto 7L?https://www.indmoney.com/articles/budget-2023-t...
The Union Budget 2023 proposes a Tax Collection at Source (TCS) for foreign outward remittance under LRS (other than for Education and medical purpose) of 20% applicable from July 1, 2023. This will come into effect after the bill is passed. Before this proposal, the TCS of 5% was applicable on foreign outward remittances above INR 7 lakhs.
Kochiro wrote:What if you are under 5-7 lacs ?
Looks like the main intention here is to make people file IT returns. 7L threshold is gone and if you don't file IT returns and the TCS/TDS amounts to 50K+ for the last two years then this rate becomes doubled for future transactions (20 >> 40% vs 5 >> 10 until now)
Hope other countries don't follow same for transactions to India. Pura buisness hi band karvayenge yea log ..
getready wrote:No paji main intention is so that funds don't go outside from middle class.this is why the country is doomed.we cannot even invest the money like we want, modern gulaami.Looks like the main intention here is to make people file IT returns. 7L threshold is gone and if you don't file IT returns and the TCS/TDS amounts to 50K+ for the last two years then this rate becomes doubled for future transactions (20 >> 40% vs 5 >> 10 until now)
Udhr border pr jawaan lad rhe hain desh k liye. Tum ye 20% b nhi de skte desh k liye. 
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wow. daylight robbery.
This draconian law has nothing to do with it filing, it is only to hold people away from investing outside so that money remains in the country.
I have 1 lac to invest i get my 20k blocked for atleast a year but i earn less than the taxable income. Will i be compensated for the interest on 20k? Tell me the name of one developed nation which has a law like this? Again i will have only 80% and for the rest government needs it and we can get it back after a year or so. Smh
And you need to introspect for a second, why are people interested in sending/spendint money abroad so much instead of doing the same in one's own country?
@getready @guest_999 @makdiman @kapaalaa @Ash-D @Snapz @magur @kochiro