{"id":8104,"date":"2025-09-28T07:37:07","date_gmt":"2025-09-28T07:37:07","guid":{"rendered":"https:\/\/www.extravelmoney.com\/blog\/?p=8104"},"modified":"2025-09-28T07:39:37","modified_gmt":"2025-09-28T07:39:37","slug":"gift-remittance-to-europe-guide","status":"publish","type":"post","link":"https:\/\/www.extravelmoney.com\/blog\/gift-remittance-to-europe-guide\/","title":{"rendered":"Sending Gift Remittances to Europe: Everything You Need to Know"},"content":{"rendered":"\n
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From birthdays to weddings, many Indians send money to their distant family members and friends in Europe as gifts. This is known as gift remittance under the RBI international money transfer purposes. <\/p>\n\n\n\n

In this blog, we\u2019ll cover everything you need to know, including documents, beneficiary details, transfer limits, applicable taxes, and the best channels for securely transferring money to Europe.<\/p>\n\n\n\n

Also Read: 6 Hidden Fees When Sending Money Abroad You Miss Out and Tips to Save<\/a><\/strong><\/p>\n\n\n\n

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Required Documents for Gift Remittance to Europe <\/h2>\n\n\n\n
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  1. Government-issued photo ID proof of the sender in India. You can present documents such as a passport, voter’s ID, or Aadhar card.
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  2. PAN card copy of the sender
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  3. Passport copy of the beneficiary
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  4. Filled A2 form<\/li>\n<\/ol>\n\n\n\n
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    Required Beneficiary Details <\/h2>\n\n\n\n
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    1. Beneficiary Name<\/li>\n\n\n\n
    2. Permanent address (as given in the bank)<\/li>\n\n\n\n
    3. Bank name<\/li>\n\n\n\n
    4. Bank address<\/li>\n\n\n\n
    5. Bank account number<\/li>\n\n\n\n
    6. SWIFT Code<\/a><\/li>\n\n\n\n
    7. IBAN Number<\/li>\n<\/ol>\n\n\n\n
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      How Much Money Can Be Sent as Gift to Europe from India<\/h2>\n\n\n\n

      The maximum transferable amount for gift remittance to Europe in a financial year depends on the residential status of the sender in India.<\/p>\n\n\n\n

      For NRIs, gift remittance falls under the NRI repatriation purpose of international money transfer.<\/p>\n\n\n\n

      Residential Status<\/strong><\/td>Account Type<\/strong><\/td>Maximum Remittance Limit<\/strong><\/td><\/tr>
      Resident Indian<\/td>Savings Account<\/td>USD 2,50,000 equivalent in GBP (EUR 2,00,000 approx)<\/td><\/tr>
      Non-Resident Indian<\/td>NRO Account<\/td>USD 1 million equivalent in GBP (GBP 8,00,000 approx)<\/td><\/tr>
      <\/td>NRE Account<\/td>No limit<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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      Taxes Applicable for the Sender on Gift Remittance to Europe<\/h2>\n\n\n\n

      The Indian government levies two taxes on foreign remittances to Europe or any other foreign country. <\/p>\n\n\n\n

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      1. TCS (Tax Collected at Source)<\/strong><\/li>\n<\/ol>\n\n\n\n

        TCS<\/a> applies to international money transfers based on purpose. The TCS-free limit for gift remittance in a financial year is Rs 10 lakhs, with a 20% TCS on amounts above this limit.<\/p>\n\n\n\n

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        1. GST (Goods and Services Tax)<\/strong><\/li>\n<\/ol>\n\n\n\n

          GST is calculated based on transaction volumes, which are divided into three slabs. The method for calculating the GST value varies for each slab.<\/p>\n\n\n\n

          Slabs <\/strong><\/td>GST Payable<\/strong><\/td>Minimum Tax to be Paid<\/strong><\/td>Maximum Tax to be Paid<\/strong><\/td><\/tr>
          Slab 1 (Upto Rs. 1 lakh)<\/td>0.18% of the total amount sent abroad<\/td>Rs. 45<\/td>Rs. 180<\/td><\/tr>
          Slab 2 (Rs.1 lakh \u2013 Rs.10 lakhs)<\/td>Rs.180 + 0.09% of the amount above Rs. 1 lakh to Rs. 10 lakhs<\/td>Rs. 180<\/td>Rs. 990<\/td><\/tr>
          Slab 3(Above Rs. 10 lakhs)<\/td>Rs. 990 + 0.018% of the amount above Rs. 10 lakhs<\/td>Rs. 990<\/td>Rs. 10,800<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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          Different Options for Gift Remittance to Europe from India<\/strong><\/h2>\n\n\n\n

          1. Banks<\/strong><\/h3>\n\n\n\n

          Banks have long been the traditional method for sending money from India to Europe. <\/p>\n\n\n\n

          PROS<\/strong><\/td>CONS<\/strong><\/td><\/tr>
          Wide Accessibility:<\/strong> Offered by most major banks in India<\/td>Higher Fees and Exchange Rate:<\/strong> Banks charge more<\/a> than other options<\/td><\/tr>
          Secure and Reliable:<\/strong> Regulated by RBI, enabling safe transactions<\/td>Longer Transfer Time:<\/strong> Takes 2-3 working days to process<\/td><\/tr>
          Well-established Networks<\/strong>: Ensures money reaches securely worldwide<\/td>Exclusive for account holders: <\/strong>Not available for non-account holders<\/td><\/tr>
          Lesser Documentation Needs:<\/strong> Banks have KYC documents of their account holders<\/td>Lack of dedicated service: <\/strong>Focus spread across multiple banking services other than outward remittance<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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          2. Money Transfer Companies<\/strong><\/h3>\n\n\n\n

          Unlike banks, money transfer companies specialise in international remittances through online and offline methods.<\/p>\n\n\n\n

          PROS<\/strong><\/td>CONS<\/strong><\/td><\/tr>
          Better Exchange Rates<\/strong>: More competitive than banks<\/td>Platform Fees<\/strong>: Extra charges for online transactions<\/td><\/tr>
          Diverse Service Methods: <\/strong>Available both online and offline <\/td>High Charges:<\/strong> Markup and service fees are charged<\/td><\/tr>
          No Bank Account Needed<\/strong>: Transfer without a bank account<\/td>Transfer Limits<\/strong>: Restrictions on the amount sent<\/td><\/tr>
          Dedicated Service: <\/strong>Foreign fund transfer customers are their only consumers<\/td>Long Transfer Time<\/strong>: Often completed within 2-3 days<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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          3. Online Forex Aggregators<\/strong><\/h3>\n\n\n\n

          Online forex aggregators act as intermediaries, connecting customers with foreign exchange vendors and banks to facilitate international transfers. With the help of their tie-ups, they compare exchange rates in the market and fetch the best rate for customers. <\/p>\n\n\n\n

          PROS<\/strong><\/td>CONS<\/strong><\/td><\/tr>
          Best Exchange Rates<\/strong>: Most competitive rates after comparison<\/td>Limited Availability<\/strong>: Fewer platforms provide this service<\/td><\/tr>
          Zero Transfer Fees<\/strong>: No service or transfer fees<\/td>Requires Bank\/UPI Transfer<\/strong>: Must have a bank account for transactions<\/td><\/tr>
          Available for all<\/strong>: Account holders of any bank can access the service<\/td>Less Physical Presence<\/strong>: Fewer in-person service locations<\/td><\/tr>
          Faster Online Processing<\/strong>: Transfers get completed in 2 days anywhere in India<\/td>Longer Documentation<\/strong>: Requires KYC and purpose documents for first-time users<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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          How to Send Money as Gift from India to Europe<\/h2>\n\n\n\n
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          1. Find the most suitable service provider by comparing the exchange rates, service charges, processing duration and complexity.
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          2. Submit the necessary KYC documents and the bank details of the beneficiary in Europe to your chosen service provider for verification.
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          3. Transfer the amount to the bank or remittance company using NEFT, RTGS, or online banking.<\/li>\n<\/ol>\n\n\n\n
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            1. Once the wire transfer is initiated, funds will be credited to the beneficiary’s bank account in Europe within 48 working hours.<\/li>\n<\/ol>\n\n\n\n
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              Best Way to Make Gift Remittance to Europe<\/h2>\n\n\n\n

              ExTravelMoney offers a simple and affordable solution for sending money as a gift to your dear ones not only in Europe, but all around the world. Being a pan-Indian forex aggregator, ExTravelMoney offers:<\/p>\n\n\n\n