Abroad Education: Now children will study abroad easily! Parents will get relief from this announcement made in the budget.

In the 2025-26 budget, the Government of India has abolished TCS i.e. tax deduction at source on paying the college fees of children studying abroad by taking a loan.

Union Budget 2025: Nirmala Sitharaman has shown complete generosity towards the parents who send their children abroad by taking a loan. But, the expectations of those who send children abroad by cutting down on food or selling their property have not been fulfilled from the budget. In the 2025-26 budget, the Government of India has abolished TCS i.e. tax deduction at source on paying the college fees of children studying abroad by taking a loan. Earlier, 0.5 percent tax was levied on sending more than seven lakh rupees for college fees in a year.

20% TCS will continue to be deducted if you send your child abroad without taking a loan

Those who study abroad by taking a loan have gotten relief, but those who send their children abroad by giving their lifelong savings or by selling their property or jewelry have not gotten any relief. 20% TCS will continue to be deducted as before on sending them money abroad for college fees. However, the limit of TCS has been increased for paying fees in foreign colleges even without taking a loan. The government has now increased its limit from seven lakhs to 10 lakh rupees.

Experts say that such parents should also get relief considering their income. Many of these parents are such who do not take a loan to avoid the heavy burden of interest and sacrifice their own future for the future of their children even by withdrawing the amount of PF etc. The condition of such parents becomes worse than the parents who send their children abroad by taking a loan.

Dreams of middle-class parents will be fulfilled.

This step of the Finance Minister will strengthen the intention of developing India by promoting higher education abroad. This will also fulfill the dreams of middle-class parents, who want to ensure a better future for their children by sending them abroad for studies. The number of parents dreaming like this will also increase.

Disclaimer: This content has been sourced and edited from abplive. While we have made modifications for clarity and presentation.