Remittance To India

According to a survey by the Reserve Bank of India on post-Covid-19 remittances, the United States emerges as the primary contributor, constituting 23% of the total amount

India received over USD 111 billion in remittances in 2022, the largest in the world, becoming the first country to reach and even surpass the USD 100 billion mark, the United Nations migration agency has said. The International Organisation for Migration (IOM), in its World Migration Report 2024 launched Tuesday, said that in 2022, India, Mexico, China, the Philippines and France were the top five remittance recipient countries. "India was well above the rest, receiving more than USD 111 billion, the first country to reach and even surpass the USD 100 billion mark. Mexico was the second-largest remittance recipient in 2022, a position it also held in 2021 after overtaking China, which historically had been the second-biggest recipient after India, the report said. According to the report's data, India was the top country receiving remittances in 2010 (USD 53.48 billion), 2015 (USS 68.91 billion), and 2020 (USD 83.15 billion), with the remittances crossing the USD 100 billion mark t

India continues to be the highest recipient of remittances globally, followed by Mexico ($67 billion) and China ($50 billion)

The higher rate of 20 per cent TCS to be levied on spending above Rs 7 lakh on foreign tour packages and liberalised remittance scheme (LRS) will kick in from October 1. Currently, funds transferred overseas under the Reserve Bank's LRS attract 5 per cent Tax Collection at Source (TCS) on amounts exceeding Rs 7 lakh. The TCS rate will go up to 20 per cent from October 1. Currently, LRS transfers up to Rs 7 lakh in a fiscal do not attract any TCS. The same provision will continue from October 1. At present, purchase of overseas tour packages currently attracts 5 per cent TCS. From October 1, such spending up to Rs 7 lakh will attract 5 per cent TCS. Above the threshold, TCS rate will be higher at 20 per cent. An assessee can take credit of the TCS amount paid at the time of filing income tax returns for the relevant assessment year. TCS of 5 per cent will continue to be levied on annual expenses exceeding Rs 7 lakh towards medical treatment and education each. For those availing

Further, in April 2022-February 2023, outward remittances under LRS stood at $24.18 billion, an all-time high

North America had a high share of remittances before the global financial crisis

India's remittances from the Gulf saw a steep decline during the pandemic. But it was offset by a jump in remittances from the US. Let's understand the changing dynamics of inward remittances

Overall, remittances to the Asia-Pacific region will drop 12% in the second half of 2020 compared with the same period last year, Fitch Ratings said this month

The northern state houses 21 of the top-50 districts from where most low-skilled Indians go overseas for employment, followed by Bihar with seven; Kerala has only one

India tops the list of nations that remit earnings - nearly $83 billion remitted in 2019 - according to the World Bank

The oil prices have been ruling firm following output cuts by oil cartel OPEC and other geopolitical factors, including looming US sanctions against Iran coupled with strong market demand

Remittances to India picked up sharply by 9.9 per cent, reversing the previous year's dip, but were still short of USD 70.4 billion received in 2014

Gulf countries are the primary destination for Indian workers going abroad, the UN report said