Foreign Currency Cash Fees & Charges
HDFC Bank Foreign Currency Cash fees and charges
Foreign Currency Cash services without any fees. Only GST charges will apply to these services.
Convert unused currency back into Indian rupees.
Goods and Services Tax: All foreign exchange transactions are subject to the imposition of Goods and Services Tax (GST), which is payable in addition to the mentioned charges. Currently, the applicable GST rate is as follows:
For commission, fees, and charges (including full value charges) paid: 18% applicable.
Foreign currency exchanged according to the slab provided below:
Up to ₹1 Lakh: 0.18% ACE or ₹45 - whichever is higher. (Maximum GST ₹180).
₹1 Lakh – ₹10 Lakh: ₹180 + 0.09% of the amount exceeding ₹1 Lakh. (Maximum GST ₹990).
> ₹10 Lakh: ₹990 + 0.018% of the amount exceeding ₹10 Lakh. (Maximum GST ₹10,800).
Tax Collected at Source: The Finance Act, 2020 has introduced new Income tax provisions on Foreign Exchange transactions under the Liberalised Remittance Scheme (LRS), effective October 1, 2020.
As per the new provisions:
Tax Collected at Source (TCS) @ 5% shall be applicable on all forex drawls under LRS exceeding INR 7 Lakh in a financial year.
TCS shall be applicable on all LRS transactions including forex drawl through FCY Cash Sell, Forex Cards issuance / load / reload, FCY DD issuance and Outward Remittances.
For transfers from Resident Individual Account to NRO Account towards Gift / Loan, TCS will not be applicable and the amount transferred will not be subsumed under the aggregate threshold limit of INR 7 Lakh per financial year as mentioned above.
For remittances towards pursuing overseas education, TCS @ 0.5% shall be applicable, if the amount remitted is obtained through an educational loan from a financial institution as specified u/s 80E of the Income-tax Act, 1961.
If the amount remitted towards overseas education is out of own funds or loan from any other entity (i.e. not from education loan obtained from a financial institution explained above), TCS @ 5% shall be applicable on aggregate remittance exceeding INR 7 Lakh per FY.
Forex drawls towards Overseas tour packages shall attract TCS @ 5% of the total remitted amount and the amount remitted will be subsumed under the threshold limit of INR 7 Lakh mentioned above.
The TCS rates mentioned above are to be increased by applicable surcharge as well as Health and Education Cess in case the remitter is not a resident as per the Income-Tax Act, 1961.
| Income taxable in India | Rate of TCS | Surcharge | Health and education cess | Effective rate of TCS |
|---|---|---|---|---|
| Below ₹50 lakh | 5% | 0% | 4% | 5.20% |
| ₹50 akh to ₹1 crore | 5% | 10% | 4% | 5.72% |
| Above ₹1 crore to ₹2 crore | 5% | 15% | 4% | 5.98% |
| Above ₹2 crore to ₹5 crore | 5% | 25% | 4% | 6.50% |
| Above ₹5 crore | 5% | 37% | 4% | 7.12% |
There are zero annual charges for HDFC foreign currency cash services.
The bank provides Foreign Currency Cash services at no cost. Only GST charges will apply to these services.
There are no bank charges on foreign currency cash charged by HDFC Bank. However, all foreign exchange transactions are liable to Goods and Services Tax (GST).