Form 10F Filing for Non-Residents in India: Reduce TDS and Claim DTAA Benefits
Non-resident companies and individuals earning income from India are required to file Form 10F online to claim the benefit of reduced tax rates under the applicable India DTAA. Without this form, Indian customers must deduct TDS at 20% or higher. Sorting Tax assists foreign companies, LLCs and individuals from over 15 countries to file Form 10F, obtain PAN and prepare a No PE Certificate — so you pay less tax and stay fully compliant.
What is Form 10F and Why Does it Matter for Non-Residents?
Form 10F income tax , is an online Form, which is required to be filed by foreign companies, foreign companies, Limited Liability partnerships, LLC, individuals and other taxpayers. This Form is required to be filed online on the website of the Indian income tax office, after creating an account thereon.
This Article on Form 10F covers the following aspects : –
- Definition and Purpose of Form 10F
- Significance for International Transactions
- Compliance Requirements
- Advantages of Online Filing
- Accessing Form 10F Online
- Steps to File Form 10F Online
- Common Challenges and Solutions
- Documentation Requirements
- Consequences of Non-Compliance
- Case Studies and Examples
- Successful Implementation Stories
- Conclusion
- Contact Us
- FAQs for Online Form 10F
- Format of Online Form 10F
Additionally, you can watch our 6 Shorts Video Youtube Playlist on Form 10F to get answers to your questions or CONTACT US NOW Now . (Click next on the Upper right Side to move to next videos one by one)
Key aspect covered in this Article are as under : –
| Who has to file Form 10F India? | Non-resident Tax payer with or without PAN |
| What is the purpose of filing Form 10F? | To claim lower rate of tax on Indian income under Indian Tax Treaties |
| Form 10F is to be e-filed every Year ? | Yes, for April 1, 20xx to March 31, 20XX |
| Can Sorting Tax help us to file Form 10F online? | Yes |
| What other documents may be required for filing Form 10F online ? | Digital Signature, TRC , No PE Declaration |
A. Purpose of Form 10F
Form 10F is a self-declaration filed online by non-residents — including foreign companies, LLPs, LLCs and individuals — who earn income from India and wish to claim the benefit of a lower tax rate under the applicable India Double Taxation Avoidance Agreement (DTAA). Without a valid Form 10F on record, the Indian payer is required to deduct TDS at the domestic rate of 20% (plus applicable surcharge and cess) rather than the significantly lower DTAA rate, which can be as low as 0% for certain categories of income.
If a non-resident does not intend to claim DTAA benefits, they are not required to file Form 10F. However, in practice, many Indian customers will still request it as part of their compliance documentation.
B. Significance for International Transactions
International transactions — such as payments for management services, royalties, fees for technical services and software licences — are generally taxable in India as well as in the country where the recipient is based. Under the Indian Income Tax Act 1961, the default withholding tax (TDS) rate on such income is 20% or higher. However, the applicable DTAA may provide for a significantly lower rate.
Form 10F substantiates the non-resident’s eligibility to claim this Treaty benefit. In addition to Form 10F, an Indian customer may also request the following supporting documents:
- Tax Residency Certificate (TRC): Issued by the tax authority of the country of residence (for example, the IRS for US-resident entities). Sorting Tax reviews TRCs to confirm they meet Indian requirements.
- No PE Declaration / Certificate: A declaration by the foreign company confirming it does not have a Permanent Establishment (PE) in India. This is a critical document — the absence of a PE determines whether India has the right to tax the income at all. Sorting Tax regularly prepares No PE Declarations based on the nature of income, the relevant Treaty clause and the specific facts of the engagement.
India TDS Rate vs. DTAA Rate — Key Countries
| Country | Income Type | TDS Under IT Act 1961 | TDS Under DTAA | Saving |
|---|---|---|---|---|
| USA | FTS / Royalty | 20% + surcharge | 0–15% | Up to 20%+ |
| UK | FTS / Royalty | 20% + surcharge | 10–15% | 5–10%+ |
| UAE | FTS / Royalty | 20% + surcharge | 0–12.5% | Up to 20%+ |
| Singapore | FTS / Royalty | 20% + surcharge | 10–15% | 5–10%+ |
| Germany | FTS / Royalty | 20% + surcharge | 10–15% | 5–10%+ |
Get Expert Help with Form 10F, PAN & No PE Certificate
C. Compliance Requirements
Form 10F is required to be filed online every financial year. Once filed, the same Form 10F can be provided to multiple Indian customers during that year — you do not need to file a separate Form 10F for each transaction or invoice. There are two procedures, depending on whether the non-resident holds an Indian Permanent Account Number (PAN).
Form 10F Filing for Non-Residents with an Indian PAN Number
A non-resident who holds an Indian PAN can file Form 10F directly on the income tax portal at incometax.gov.in after logging into their account. The following steps are involved:
- Obtain a Tax Residency Certificate (TRC) from the tax authority of the country of residence
- Obtain a Class 3 Digital Signature Certificate (DSC) from an authorised Indian certifying authority
- Log in to the income tax portal using the registered PAN credentials
- Complete and submit Form 10F online, attaching the TRC
- Download and retain the filed Form 10F — this is the document you provide to your Indian customer
Sorting Tax assists non-resident clients through each of these steps, including PAN applications, Digital Signature procurement and portal registration.
Form 10F Filing for Non-Residents Without a PAN — Simplified Procedure
Non-residents who do not have an Indian PAN — and who are not required to obtain one — can file Form 10F through an alternate procedure on the portal. This process requires submission of KYC details (identity proof, address proof and tax identification number from the country of residence) and is verified through OTP or e-verification rather than a Digital Signature.
It is important to note that under current Indian tax law, a non-resident who claims treaty benefit is generally required to obtain a PAN. Sorting Tax can assess your specific situation and confirm whether PAN procurement is necessary before proceeding with Form 10F.
How to File Form 10F Online — Overview and Requirements
Form 10F is required to be filed online every financial year. Once filed, the same Form 10F can be provided to multiple Indian customers during that year — you do not need to file a separate Form 10F for each transaction or invoice. There are two procedures, depending on whether the non-resident holds an Indian Permanent Account Number (PAN).
A. Advantages of Online Filing
Filing Form10F online, has certain distinctive advantages. A taxpayer needs to file Form10F once, every financial year, and there after it can be provided to as many Indian customers, multiple times. This saves the hassle of providing form 10 F, TRC every time an invoice is paid to the foreign firm.
B. Accessing Form 10F Online
One can file Form10F online, from the website of the Indian income tax office at https://www.incometax.gov.in/iec/foportal/ .
For Filing Online Form 10F the following information is required to be provided :
- Whether the taxpayer is an individual, company, etc.;
- Nationality or country of incorporation;
- Tax Identification Number (TIN) in the country of residence;
- Address of the assessee outside India;
- Verification by the assessee as to the veracity of the facts mentioned in the Form; and
- Lastly, other information required.
Registration on the Income Tax Portal — Step-by-Step
A. Registration Process
As discussed above, one can register themselves, after obtaining the PAN with the Indian income tax office . Once an account is created, a person can file Form 10 F online after logging in into their account.
In cases where a person does not have a PAN and is not required to obtain a PAN, they can go through the alternate procedure to file Form 10F
For e-filing of the Form, taxpayer should satisfy the following conditions :
- Have an account with Indian Tax Office;
- Have an Indian Permanent Account Number (PAN);
- Have Digital signature of authorized signatory; and
- Tax Residency Certificate from Resident State.
B. Form Submission and Verification
Once the Form 10F, is completed, an authorised person on behalf of the non resident, is required to verify, that the content of the form are correct, and there are no misrepresentation or incorrect facts which have been stated in the form. Thereafter the form can be submitted, by affixing the digital signature in case of a person who has a PAN, and through e-verification in case of a person not having a PAN.
C. Acknowledgment and Confirmation
Once the Form 10F, is submitted, a person can download the form filed, which can be later provided to their Indian customer.
Common Challenges in Filing Form 10F — and How to Resolve Them
A. Technical Issues and Troubleshooting
While filing Form 10F, following precaution are required to be taken : –
- The details provided should be correct in all aspects ;
- In case where a person has a PAN number, the digital signature should be registered ;
- The tax residency certificate, should be attached to the online Form 10F
B. Documentation Requirements
The following documents are required to be attached with the Form : –
- Tax Residency Certificate (TRC);
- No PE Certificate/ Declaration.
C. FAQs and Support Resources
You can also refer our FAQ Section for more details .
Legal Framework
The legal basis for Form 10F is as follows:
- Section 90 and Section 90A of the Income Tax Act, 1961 govern the applicability of Double Taxation Avoidance Agreements (DTAAs) that India has entered into with other countries. These provisions allow a non-resident to claim the benefit of whichever is more favourable — the domestic tax law or the Treaty rate.
- Rule 21AB of the Income Tax Rules, 1962 prescribes the information that must be submitted by the non-resident to claim Treaty benefit. Form 10F is the prescribed format under this Rule. The information includes the taxpayer’s residential status, tax identification number, nationality, address and the period for which the TRC is valid.
- Non-residents must ensure that Form 10F is filed for every financial year in which they earn income from India and wish to claim Treaty benefit. Filing for a prior year is not permitted — the form must be filed contemporaneously.
Real-World Examples: How Form 10F Reduced TDS for Foreign Companies
XYZ Inc., a US company, has provided certain management services to ABC India Private Limited for a sum of USD 200,000 . ABC India Private Limited asked XYZ Inc to provide Form 10F, amongst other documents. However, XYZ Inc. is unable to provide such documents.
In such a case, ABC India Private Limited would deduct TDS @ 20% (plus applicable surcharge and cess) as against 0% , that should have been withheld in this case.
Another customer of ABC India Private Limited , LMN INC USA, provided consultancy services that do not make available to ABC India Private Limited. However, it had obtained a PAN in India, had TRC and filed Form 10F.
In such a case, ABC India Private Limited would deduct TDS @ 0% , since LMN has provided all documents to substantiate its claim of Treaty benefit and such services do not make available any technical skills (Assuming LMN does not have a PE in India).
How Sorting Tax Has Helped 100+ Companies Reduce India TDS
At Sorting tax, we have successfully assisted various US, UK, Singapore, Italy, Malaysia , UAE, China and other jurisdiction company to File Form 10F and claim lower tax benefits.
Why Filing Form 10F is Essential for Every Non-Resident Earning from India
For any foreign company, LLC, LLP or individual earning income from India, filing Form 10F online is both a legal obligation and a practical financial necessity. The difference between the domestic TDS rate (20% or more) and the applicable Treaty rate can be substantial — often amounting to thousands of dollars per transaction.
Beyond the tax saving, filing Form 10F reduces recurring compliance for companies that transact regularly with India. A single annual filing covers all transactions during the year, across multiple Indian customers — eliminating the need to provide fresh documentation for every invoice.
Sorting Tax has assisted companies from the US, UK, UAE, Singapore, Italy, Malaysia and several other jurisdictions to file Form 10F, obtain PAN, and prepare No PE Declarations. Our team understands the procedural nuances of the Indian income tax portal and the documentary requirements of Indian customers — so the process is handled efficiently, without delays.
You can contact us with the Form Below or
Email – contact@sortingtax.com
WhatsApp and Call – +91-9667714335
Get Expert Help with Form 10F, PAN & No PE Certificate
FAQ - Form 10F Filing
1. Is filing Form 10 F mandatory for all the non-residents?
Yes, it is mandatory for all the non-resident to file Form 10 F online.
2. Can a non-resident who does not have a PAN, and who is not required to obtain a PAN, under an obligation to file Form 10 F online?
Yes, they have to file Form 10 F online, although the procedure is relatively simpler compared to the non-resident who are required to obtain PAN .
3. I am claiming the benefit of India-USA Tax Treaty and offering my income to Indian tax at a rate lower than Income Tax Act 1961. Am I required to obtain the PAN number?
Unless you fall in some exempt categories, like, investors in GIFT CITY etc, you are required to obtain the PAN number.
4. From where can I obtain a tax residency certificate or TRC?
A tax residency certificate or TRC, would be issued by your country of residence. For example, if you are a tax resident of USA, the US IRS would issue a TRC to you
5. Can Sorting Tax help us to file Form 10 F online?
Yes, we can help you e-file Form 10F. Please chose the relevant category :-
- If you are a Non-resident who has a PAN Number - CONTACT US NOW;
- If you are a Non-resident who does not have a PAN Number and who is not required to obtain a PAN Number - CONTACT US NOW;
- Further, if you are a Non-resident who does not have a PAN Number but are required to obtain a PAN Number - CONTACT US NOW.
6. Is Form 10F required to be filed every year?
Yes. Form 10F is required to be filed for each financial year in which the non-resident earns income from India and wishes to claim DTAA benefit. A Form 10F filed for one financial year does not cover a subsequent year. Sorting Tax provides annual filing reminders to all clients we have assisted in the past.
7. What is the penalty for not filing Form 10F?
If Form 10F is not filed, the Indian payer is required to deduct TDS at the domestic rate (20% plus applicable surcharge and cess) rather than the DTAA rate. There is no separate penalty for the non-resident, but the excess TDS deducted can only be recovered by filing an Indian tax return and claiming a refund — which is a time-consuming and often difficult process.
8. Can I file Form 10F without a Digital Signature?
Yes, but only if you do not have an Indian PAN. Non-residents without a PAN — and who are not required to obtain one — can complete Form 10F through an e-verification process that does not require a Digital Signature. If you have a PAN, a Digital Signature is mandatory.
9. Is a No PE Certificate mandatory along with Form 10F?
A No PE Declaration is not a statutory requirement under the Income Tax Act, but it is routinely requested by Indian customers as part of their TDS compliance. The absence of a PE in India is one of the conditions for applying a nil or reduced Treaty rate on certain income types such as business profits. Sorting Tax prepares legally sound No PE Declarations tailored to the Treaty and the specific nature of the services provided.
10. Can Sorting Tax obtain a PAN for a foreign company or individual?
Yes. Sorting Tax assists non-resident companies, LLPs, LLCs and individuals to obtain a PAN from the Indian Income Tax Office. The process involves submission of identity and address documents in a prescribed format, and typically takes 3–4 weeks. Obtaining PAN is often a prerequisite to filing Form 10F online.
11. What is a Tax Residency Certificate (TRC) and where do I obtain it?
A Tax Residency Certificate (TRC) is a certificate issued by the tax authority of your country of residence confirming that you are a tax resident of that country. For example, US entities obtain a TRC from the IRS (Form 6166). The TRC must typically cover the financial year for which Form 10F is being filed. Sorting Tax reviews TRCs to confirm they meet the Indian Income Tax portal requirements before filing.
12. Do I need to file a separate Form 10F for each Indian customer?
No. Once Form 10F is filed on the income tax portal for a given financial year, you can download the filed form and share it with as many Indian customers as required during that year. This is one of the key practical advantages of the online filing system — a single filing satisfies the requirements across all India transactions.
13. Which countries have the most favourable DTAA rates with India?
India has DTAAs with over 90 countries. For Fee for Technical Services (FTS) and Royalties, the rates range from 0% to 20% depending on the Treaty. The India-USA Treaty, India-UAE Treaty and India-Singapore Treaty provide some of the lower rates for certain categories of income. The applicable rate depends on the Treaty article, the nature of income and whether the income is attributable to a PE. Our team can advise you on the applicable rate for your specific situation.
14. Can Sorting Tax file Form 10F on behalf of my company?
Yes. Sorting Tax provides end-to-end Form 10F filing assistance. We handle the portal registration, PAN procurement (if required), Digital Signature arrangement, TRC review and the actual filing. We have successfully filed Form 10F for clients from the US, UK, UAE, Singapore, Italy, Malaysia and other jurisdictions.
15. What documents are required in total to claim DTAA benefit from India?
The following documents are typically required: (i) Form 10F — filed online on the Indian income tax portal; (ii) Tax Residency Certificate (TRC) from the country of residence; (iii) No PE Declaration — confirming no Permanent Establishment in India; and (iv) PAN — required if the non-resident is claiming Treaty benefit. Sorting Tax can prepare or assist with all of these documents.
