MISCELLANEOUS PROVISIONS FOR NON-RESIDENTS Under the provision of Section 139, following person are mandatorily required to file return of income : – Company or firm ; or A person other than a company [or a firm], if his total income or the total income of any other person in respect of which he is assessable under … Read more
Section 195 of Income Tax Act – Withholding tax on payment to Non Resident Applicability of withholding tax on payment of interest or any other sum to non-resident – section 195(1) Section 195 of Income Tax Act Any person (whether resident or non-resident), responsible for paying interest (other than interest referred to in Section 194LB/194LC/194LD) … Read more
Where the branch of a foreign company, which is engaged in banking business in India is converted into an Indian subsidiary of such foreign company ,any capital gains arising from such conversion would not be chargeable to tax , provided the conditions notified by the Central Govt. are satisfied and such conversion is in accordance … Read more
Applicability of MAT on Foreign Companies – Section 115JB of Income Tax Act 1961 Under the provision of the Income Tax Act, where the tax payable by the company as per the provision of the IT Act, is less than MAT, the company is liable to pay a minimum income tax equivalent to MAT. Tax … Read more
Section 115bba of Income Tax Act 1961 – Tax on Non Resident Sportsmen or Sports association Income of Non resident Sportsmen Where a non-resident sportsman (including an athlete), who is a foreign citizen derives following income, they shall be taxable at 20%: – Income from participation in India in any game (other than winnings from … Read more
Section 115AD of Income tax act – Tax on Income of Foreign Institutional Investors Who are ‘Foreign Institutional Investor’? A Foreign Institutional investor (FII) , is an investor or an investment fund , which is registered outside India and invests in Indian financial markets . They can include hedge funds, insurance companies, pension funds and … Read more
Section 115AC of Income tax act – Special Provisions for Computing Tax on Income from Bonds or Global Depository Receipts Under the provisions of the Income Tax Act, the following income would have concessional rate of tax mentioned against them : – Particulars Rate of Tax Interest income of non-resident from following bonds purchased in … Read more
Section 115ab of Income tax act – Taxation of income from units/or Capital gains of such units of offshore fund Income from certain units, or capital gains arising from transfer of such units, by non-resident/foreign company from the following shall be chargeable to tax @ 10% : – Income received by Overseas financial institution (“OFI”) … Read more
Section 115A of Income Tax Act deals with taxation of Income from royalty or fees for technical services (other than those covered u/s 44DA) received by non-resident/foreign company from the following shall be chargeable to tax @ 10% : – Government under an agreement ; Indian concern, in pursuance of agreement , which is either … Read more
The provisions of “Chapter XII A of Income Tax Act – Special provisions relating to certain incomes of non-residents”contains sections 115C, 115D, 115E, 115F, 115G, 115H and 115-I. These provisions are applicable to a Non-resident Indian who has certain investment from which he derives : – Certain investment income; and/ or Long term capital gains … Read more