Niyo Global 5% TCS per transaction

Niyo Global cards either from SBM or DCB, claim to be zero forex markup fees

Is there per transaction flat 5% TCS charge , which will be refunded only if you have spent less than Rs 7 Lakh on your foreign exchange transaction in that financial year?

Hey @Eric_Fernandes, Tax Collected at Source (TCS) on LRS transactions is a regulatory requirement amended under section 206C of Finance Act 2020. Kindly check out the link here: What is TCS? How does it work for the Liberalised Remittance Scheme? for better understanding.

That did not help me… its not written in an easily understandable language unfortunately.

Within a given financial year -
All transactions on Niyo global less than 7 Lakhs - No 5% TCS charge
Any transaction on Niyo global > 7 Lakhs - each transaction will have 5% TCS

Looking for a Yes/No

Hi @Eric_Fernandes, Yes, In a given financial year, when your international transactions exceed ₹7 lakhs, a fee of 5% is charged for the incremental amount exceeding ₹7 lakhs. For multiple international transactions made in a day, TCS is deducted only once a day at the end of the day for the cumulative international transactions. For any further clarification kindly write to us at our team will be happy to assist you better.


What happens if I don’t have enough funds to deduct TDS?

Hey @Sanjay24! Welcome to Niyo Community!

For Niyo DCB, if you do not have an additional 5% balance in the account, the transaction will not be processed. Similarly, for Niyo SBM, the amount gets debited as soon as you add for your next transaction.


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I think TCS will only be deducted on transactions that exceed Rs 7 lakhs in one FY. If you have just spent Rs 50k TCS isn’t going to be charged on any of those transactions. Am I right in my understanding?

Hi @vjone, Yes, your right!

Continuing the discussion from Niyo Global 5% TCS per transaction:

What if i do multiple international transactions on a day but amount haven’t exceeded 7 lakhs. In that condition would i have to pay the 5% tcs on every transaction or would i have excempted from the deduction as it not exceed the 7 lakh limit?

Hey @VIRAL_BORSALLIWALA! Welcome to Niyo Community!

If you are holding a Niyo Global SBM account, you’ll be charged with TCS only after you exceed the spending limit of 7 lakhs. If not, there will not be any TCS charges.