Category: Uncategorized
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Taxation of employee benefits received by expats working in India
For an expat working in India, one can see a pattern of salary components as follows: In such cases, there is a strong possibility that the Income Tax Department would want to tax all the above amounts as perquisite in the hands of the employee, going by the plain wordings of Section 15 to 17…
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TDS rules for NRI investments
Under the Indian Income Tax Act, Section 195 contains a mandatory requirement of Tax Deduction at Source (TDS) for any payment to a Non Resident Indian (NRI) as per the rates in force at that point in time. One reason for this is that in case of non-residents, the income tax department want to be…
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Guide on TDS implications for NRIs
Today let us discuss about TDS on payment to NRI. To give a brief overview, we have Section 195 of the Income Tax Act which deals with this issue, and that section says that ANY payment to a non-resident attracts TDS at the rates in force. There are a lot of complexities in that section…
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Guide to Liberalised Remittance Scheme (LRS) of RBI
Till the time you are non-resident, RBI is not concerned what you do with your foreign earnings, where do you send it etc. But once you become a resident, there are restrictions on sending money outside India, as India still does not have a full capital account convertibility. In this regard, there may be a…
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What should I do with my UK pension on return to India?
A returning NRI who’s worked for a long time in UK may have a significant chunk of his UK savings locked in a pension which cannot be withdrawn till 55. For such NRI, a question is whether to retain the pension in UK or transfer it to a QROPS in India or other advertised overseas…