Union Budget 2025: FM seeks to Increase TCS from ₹7 Lakh to ₹10 Lakh

Budget 2025 includes a proposal to increase the TCS rate, which is expected to have a significant impact on individuals and businesses involved in transactions subject to TCS. This change is part of the government's efforts to boost tax collections and improve compliance by expanding the scope of TCS. By raising the TCS rate, the government seeks to ensure that taxes are collected at the point of transaction, reducing the risk of evasion. While this may increase the tax burden on certain individuals and businesses, it is expected to lead to a more efficient and effective collection system, ultimately benefiting the country’s revenue.