I was paid Rs. 250,000 for giving two talks in India in April 2017, and the sponsor deducted Rs. 62,500 for Indian income tax. I am US citizen, and am wondering how I could claim refund of the taxes paid in India. I have an OCI card and PAN card, and also US residency certification (form 6166) Any help or suggestions would be helpful. The ideal outcome for me would be to get a refund of the taxes I paid in India, and then to pay taxes here in the US>
Hi,
The best and simple way in your case is file income tax return in India and claim the TDS as income earned in India up to 2.5 lacs is not taxable.
Please feel free to call revert in case you need more clarity.
Thanks and regards
Abhishek Dugar
CA CS B.Com
I have spent just a few days in India this year. Am I still allowed to file tax retruns in India? For income earned in April 2017, what is the last date for filing Indian income tax forms? Thanks very much for your help.
You can claim the refund of such income tax deducted.
Since 250000 is the basic exemption limit, you'll get complete refund of 62500, if you don't have any other income in India.
All you need to do is, file your income tax return. We may help you in this.
I do have other income in India (about Rs. 600,000) for this year. However, that client did not deduct income taxes at source because I filed a US residency form (IRS form 6166) with them. Is there still a way for me to get refund of the Indian taxes? It would be easiest for me to pay taxes in the US.
What was the nature of both the incomes received?
I'll check the US India DTAA and let you know what can be done.
Hi,
Due date for filing income tax returns for income earned in April 2017 between April 2017 to July 2018.
Kindly let us know the nature of income earned in India .
Please feel free to call revert in case you need more clarity.
Thanks and regards
Abhishek Dugar
CA CS B.Com
The additional income was for teaching a few sessions in my area of expertise. I will be in Mumbai on Sept 1 and we can talk at that time. Also, let me know if you would be willing to help me with filing the proper documents in India, and what your fees would be for such taking care of this issue. Thanks.
Hi,
Sure, we can help you in this regard. For proper classification of such income as per the DTAA, few more questions need to be answered.
Request you to drop us an email at lakshita.bhandari@gmail.com.
Hi,
You can claim credit of the taxes deducted in India while filing your tax return in USA. As per the Double Taxation Avoidance Agreement between India and USA, credit of foreign taxes will be granted. You do not have to file a return in India merely to claim a refund of the taxes. In fact, from the nature of services mentioned by you, the amounts shouldn't be taxable in India at all as per the provisions of Article 15 and Article 12 of the
India-USA DTAA.
In your US tax return, you will offer to tax all your global income. The taxes deducted in India will be reduced from the liability of the US taxes. Ensure that you have a tax deduction certificate issued by the India deductor.
Happy to assist you any further if required.
Regards,
Keerthiga Padmanabhan
M.Com., CA, LL.B
Hello,
The due date for filling of returns in India for the year 2017-18 is 31st July 2018. So you still have time to file your returns and claim a refund.
You can also ask the Indian Company to issue you a tax certificate which will help you in claiming that money against your tax payable in the US.
Trust this clarifies your query.
Feel free to call / get back in case of further clarifications.
Thanking You.
Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP
