By - 23 March 2020
23 March 2020
New Delhi: The Narendra Modi government has provided major relief to students looking to pursue overseas education, as the finance ministry has decided to lower the rate of tax collected at source (TCS) for education-related remittances to 0.5 per cent, from the earlier proposed 5 per cent.
According to amendments to the Finance Bill moved by Finance Minister Nirmala Sitharaman, the lower TCS will be applicable for education-related remittances wherein the student has obtained the funds through an education loan from a financial institution.
The Finance Bill was passed by the Lok Sabha without debate, after the Parliament session ended ahead of schedule on account of the COVID-19 outbreak.