<h1>TCS Exemption for International Card Payments Below Rs 7 Lakh Under LRS; Education and Health TCS Unchanged.</h1> Concerns have arisen regarding the application of Tax Collection at Source (TCS) to small transactions under the Liberalized Remittance Scheme (LRS) from July 1, 2023. It has been clarified that individual payments using international debit or credit cards up to Rs 7 lakh per financial year will be excluded from LRS limits and will not incur TCS. The favorable TCS treatment for education and health payments will remain unchanged. Amendments to the Foreign Exchange Management (Current Account Transactions Rules), 2000, will be issued separately to reflect these changes.