New Delhi, Feb. 10 -- The Reserve Bank of India's liberalised remittance scheme (LRS) allows resident Indians to send money abroad for various purposes. The budget this year announced a reduced tax collected at source (TCS) for remittances made for certain purposes.

For example, TCS rates on overseas tour packages from financial year 2026-2027 will be flat 2%. TCS rates for medical and education remittances are nil up to Rs.10 lakh, but 2% above Rs.10 lakh.

For any other purposes, there is a 20% TCS on LRS transactions above Rs.10 lakh. It is nil up to Rs.10 lakh.

Here is all you should know about LRS:

Through LRS, residents can invest in listed foreign shares, bonds, exchange-traded funds and even overseas real estate. Venture funds ...