DTAA global income from US company salary - deductions, expenses
I relocated to India in Dec 2017 from US after 4 years. For 2017-18 financial year, my status is "Resident" as i stayed more than 183 days in India (As i visited India in 2017 couple of time as a part of my relocation). I have only US salary income, no Indian income.
And filed 2017 US as "Resident" in US and i ahve to file as "Resident" in India.
I am surprised to know, that as per DTAA with USA, State taxes are not considered for Tax credit, and also no HRA (as i paid 10% my US income to Rent) and no other deductions. DTAA, in reality is not avoiding the double taxation and in many ways it is penalizing the tax payer.
Any kind of moving expenses/benefits i am eligible/apply other than 80C,80DD etc.
Asked 6 years ago in Income Tax
The "claim the credit of foreign tax paid in USA" doesn't give credit to all the taxes.I feel the DTAA is not fare to tax player as it is not considering state taxes and other expenses etc. How can i report my grievance to the Indian IT dept. Every one has to pay huge taxes almost whatever they paid to US Fed taxes to the Indian IT, in additions to the US taxes on the same income as it is not considering the US state taxes.
Asked 6 years ago
