Sat Feb 01 17:00:36 IST 2025: ## Budget 2025: Education Loan Remittances Exempt from TCS
**New Delhi** – Union Budget 2025, presented by Finance Minister Nirmala Sitharaman, introduces a significant relief for students pursuing higher education abroad. The government has exempted Tax Collected at Source (TCS) on remittances for educational purposes when the funds are sourced through loans from specified financial institutions. This move eliminates the TCS levied on remittances exceeding ₹7 lakh under the Reserve Bank of India’s Liberalised Remittance Scheme (LRS). The Budget also decriminalizes delays in TCS payments up to the due date.
The Budget focuses heavily on education, with plans for expanding the capacity of Indian Institutes of Technology (IITs) and medical colleges, promoting Artificial Intelligence, and fostering education in Indian languages. The overall budget aims to benefit the poor, youth, farmers, and women.
The Budget Session of Parliament, currently underway, will conclude on February 13th before resuming on March 10th. This is Ms. Sitharaman’s eighth consecutive budget presentation.
First Piper 