Collected by Whom:-
Being a seller (i.e. tour operator) of an overseas tour programme package, who receives any amount from a buyer, being the person who purchases such package e. who booked overseas tour package, shall,
- at the time of debiting the amount payable by the buyer e. while generation of invoice or
- at the time of receipt of such amount from the said buyer, by any mode,
whichever is earlier, collect from the buyer,
Rate of TCS:-
a sum equal to 5% of such amount as income-tax.
Notes:-
- This Section shall not applicable if the buyer is liable to deduct tax at source (TDS) under any other provision of this Act on purchase of an overseas tour programme package by him from the seller i.e. the seller does not need to collect TCS on sale of an overseas tour programme package from those specified buyers who is going to deduct TDS while making the payments to seller.
- the Central Government, a State Government, an embassy, a High Commission, a legation, a commission, a consulate, the trade representation of a foreign State, a local authority as defined in the Explanation to clause (20) of section 10 or any other person as the Central Government may, by notification in the Official Gazette, specify for this purpose, subject to such conditions as may be specified therein
Definition:-
- “overseas tour program package” means, any tour package which offers visit to a country or countries or territory or territories outside India and includes expenses for travel or hotel stay or boarding or lodging or any other expenditure of similar nature or in relation thereto.