• Question on form W-8 BEN

Hello,

I am a resident of India working for U.S client and receiving money in dollars. I have the option of transferring money from their payment system to my paypal account. I also signed form W-8BEN for them.

Once I transfer amount from my paypal account to my savings account in India, do I need to pay any tax?

Please let me know.

Thanks
Asked 11 days ago in Income Tax

- Yes you are liable to pay income tax in India. Please also check the applicability of GST.

 

For detailed discussion you may consult telephonically.

Vivek Kumar Arora
CA, Delhi
4279 Answers
428 Consultations

5.0 on 5.0

You will be required to pay taxes in India on your global income. This is irrespective of whether you transfer the money in India or not.

 

Depending upon your turnover (if it exceeds 20 lacs in a financial year), you will also have to register under GST

Lakshita Bhandari
CA, Mumbai
5590 Answers
684 Consultations

5.0 on 5.0

Dear Sir,

 

Hope you are doing well !!

 

A resident will be charged to tax in India on his global income i.e. income earned in India as well as income earned outside India.

 

So, you are liable to pay income tax in India.

 

 

Payal Chhajed
CA, Mumbai
5136 Answers
194 Consultations

5.0 on 5.0

- It is a form under US laws to collect information for payments made to Non-residents for reporting and tax deduction purpose. Check with the US payer for any tax deduction by them You can claim benefit of such tax deduction while filing ITR in India. If tax is deducted in US, collect witholding tax certificates.

 

For detailed discussion, you may consult telephonically.

Vivek Kumar Arora
CA, Delhi
4279 Answers
428 Consultations

5.0 on 5.0

Not sure. That may be a requirement of US tax law.

Lakshita Bhandari
CA, Mumbai
5590 Answers
684 Consultations

5.0 on 5.0

You need to pay tax even if you don't transfer the amount to India as being resident in India your entire global income is taxed.

 

Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.

Thank you

Naman Maloo
CA, Jaipur
3915 Answers
52 Consultations

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