Owner: F.A.Q. on Indian Tax Income Laws! URL:http://www.taxworry.com Join Date: Thu, 18 Jan 2007 12:13:29 -0600 Rating:0 Site Description: This is a blog on Indian Income Tax Laws. Readers can also ask question on tax free of cost. Site statistics:Click here
Both HRA exemption and Interest Deducton Can Be Availed Simultaenously 1970-01-01 00:59:59 Can I claim deduction for HRA for apart of the year and interest on housing loan for the rest of the year. If the house is rented for the year, can I claim HRA for the whole year. Further can I claim Interest
on housing loan as a deduction from my rental income. neeluraideva@yahoo.com Yes ,a person can avail both , if he satisfies conditions of both the provisions. For claiming exemption
on HRA foremost condition is that the assessee should pay RENT, only then one can claim exemption from HRA u/s 10[13A] of the I T Act read with rule 2A of the I T Rule.If you pay rent for whole year , you can claim exemption for the whole year. If you have paid for part of the year , you will get even then exemption. Deduction of interest on loan is allowed only in three case Tthe property is given on rent. The property is self occupied The property could not be self occupied on account of service/occupation, one can not live in the house.So in case , you have taken loan for a house or flat which is
Rs 2,50,000 deduction is possible on account of home loan! 1970-01-01 00:59:59 I have a taken a home loan and a salaried employee.I understand max limit on deduction of home loan interest from gross salary is Rs. 150000. Is that true? How can we increase it?a_gilotra@yahoo.com How about getting a total deduction of Rs 2,50,000 from your gross total income ? Actually now it is possible. Yes maximum interest for self occupied house is Rs 1,50,000 , but now even principal amount can be deducted under section 80 C upto 1 lakh . This was previously restricted to Rs 20000 .The mathematics is as follows Rs 1,50,000 of Interest u/s 24 Rs 1,00,000 of Principal payments u/s 80 CTherefore, if you take home loan in such fashion that total out go on interest and principal is 2,50,000 per year, you will get the benefit at MAXIMUM. No more is possible for self occupied house. Remember for house on rent , there is no limit for interest deduction.
Dedcution of Interest and Principal Are Allowed to Each Co-Owners Who Paid Interest on Home Loan 1970-01-01 00:59:59 Query 1 : I have borrowed a housing loan (Joint loan - Self, Spouse, brother), since the site is in my name and brothers name. But I am the only re payer of the principal and interest. Can I claim full tax benefits(even though the documents shows as joint loan , with three names). If yes, what is the procedure. rap_in@.com Query 2: The Land is the name of my father and we are four family members. Housing Loan is sanctioned in the name of all four members. Whether Housing loan Interest
and repayment of installment can be claimed by all the four members equally in their return if they repay installment equally. or is there any other way by which Housing loan interest benefit can be claimed by all the four members equally.Thanks Anil Seth There is specific provision u/s 26 of the I T Act for taxation of joint ownership . Section 26 of the I T Act states " Where property consisting of buildings or buildings and lands appurtenant thereto is owned by two or more persons and their re Read more:Owners
, Principal
One Return for 15 Months or Two Returns for Two Years? 1970-01-01 00:59:59 I formed a company in January this year and have not filed the return for 31.3.2006. Can I file a combined return for 15 months or so at the end of financial year 31.3.2007?Are there any previous instances/case history?Regards,Ravi No , there is no such provision in the I T Act . You will have to file two returns for Asst Yr 2006-07 & Asst Yr 2007-08.The return under the I T Act is to be filed for financial year .The technical term for financial year in the I T Act is Previous Year.The previous year is defined under Section 3 of I T Act ."3. For the purposes of this Act, previous year means the financial year immediately preceding the assessment year : Provided that, in the case of a business or profession newly set up, or a source of income newly coming into existence, in the said financial year, the previous year shall be the period beginning with the date of setting up of the business or profession or, as the case may be, the date on which the source of income newly comes into ex Read more:Months
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Salary Earned In USA not Taxable in India! 1970-01-01 00:59:59 I live full-time in New York, NY (USA) and am a US citizen. I do not hold India
n citizenship. If I am employed by an Indian company headquartered in India providing a service to them outside India, must I pay Indian income taxes, apart from the US income taxes that I pay?feroz415@aol.comPrima facie , your salary is not taxable in India .The fundamental reason is that not only you are an Non Resident but also giving service outside india and that you are also receiving your salary outside India.Now , the taxability aspect of non resident under the I T Act . Income of non resident is taxable following circumstancesReceived in India orDeemed to be received in India orAccrue in India orArise in India orDeemed to Accrue or Arise in India.From the little facts you have given, I presume you are employed in a branch office of an Indian Company . As such , conditions 1 ,2,& 4 are not satisfied. Condition No 5 is also not satisfied becasue by virtue of section 9 (ii) of the I T Act Salary
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Don't Challenge Long Hand of Law! 1970-01-01 00:59:59 I use to trade in Nifty futures, till today i didnt filed my returns, now i want to file returns.generally in Nifty fut i take 1 month futures after getting expiry i shift my position to next month future, like this i trade in futures.what would be the applicable income tax % on my income in this trades?is this comes in short term capital gains or long term capital gains or it comes in general business income , why bcz here i am not getting any delivery , this my total trade is non delivery.pls say clearly about this my case with tax slabs.From: shivakassa@.comThe first thing I would like to suggest you that you must file return.Not filing of return is not beneficial to you at all from any point of view. The reasons are if you are getting taxable income above Rs 100000[considering you have no other income] , you are breaking law .Even if you are incurring losses, you are losing the benefit of claim of loss for adjustment in future years.The trading these days are not without Client Cod Read more:Challenge
No waitng period for investment by NRI 1970-01-01 00:59:59 I am a PIO and wish to sell a piece of residential land bought out of Indian Rupees 15 years ago while I was a resident Indian. I do not file/never filed any return in India. Will I be eligible to claim exemption on the Capital Gain arising out of the sale of the property. Since there is no Bond in the market now (NHAI and REC being closed for investment
) what other option do I have to invest the Capital Gain money. Can I buy a residential land or a flat, and if yes, is there any waiting period to do so. I shall appreciate your expert advice in the matter ASAP. ramparsu@hotmail.com You are free to sell the proeprty and you will also get indexation benfit on the cost of residential plot . The tax rate is 20% on long term capital. Further, you will be happy that right now there is bond of REC available .For more information read this .In case , you want to purchase the residential property for claiming exemption under section 54F , I suggest you read this.Tags: Capital
Sorry! No such claim possible under I T Act. 1970-01-01 00:59:59 This is Sateesh from Hyderabad.I want to know about exemption from gift deeds.My taxable income is around 2.5L, heard from one of the colleague that i can exempt tax if i gift 1Lack to my mother(house wife).so that my taxable income will become 1.5 L.can you plz let me know is this true? if so plz give me the section under which i can claim
?mailto:cliam?svelagaleti@gmail.comNo such exemption or deduction is available under the I T Act.Even if you gift Rs one lakh out of taxable income of Rs 2.5 lakh, you will still have to pay tax on 2.5 lakh.
Deduction of Principal Allowed Even When Construction is not Completed! 1970-01-01 00:59:59 I have a question about Home Loan Interest & Principal
repayment.I took a home loan in Mid-2005 on an apartment which is under construction. I will get the possession in May 2007. In the meanwhile, I am living in a rented apartment. Is it possible to claim Principal repayment on an under construction apartment? If I can claim principal in this financial year, Can I claim both housing loan Principal & HRA on the rented accommodation? How much is the limit on claiming principal amount? Can I claim the principal that I paid in year 2005-2006? If I can't claim the principal amount in this financial year, how can i claim for the amount that I have paid since Mid'05. Is it similar to claiming for interest? priya.a@gmail.com Yes you can claim Principal amount without completion of construction.Therefore , you can claom princiapl paid for FY 2005-06.You can also claim exemption HRA on rented accommodation because the exemption is for rental payment.No principal deduction is Read more:Construction
, Deduction
Registration is not Prerequisite for Capital Gains Tax . 1970-01-01 00:59:59 Is agreement to sell along with Receipt for the full consideration amount & possession good enough to be considered as transfer/purchase of residential property even though it is not registered and stamped( stamp duty not paid). Or is it a must to have conveyance deed in your name only then the residential property is treated as transfered. And which is the date taken as date of transfer for the purpose of duration in respect of long term capital gains.kindly throw some light from Indian tax laws point of view. kandhari_mail@yahoo.co.inNo, conveyance of document [Registration
] is not required as far as capital gains on sale of any capital asset under the I T Act is concerned. If consideration has been paid and possession is also given , that transaction comes within the definition of Transfer for Capital Gains purpose . The Transfer in relation to Capital Asset is defined under Section 2[47] of the I Act which states "Section2(47) " transfer ", in relation to a capital asset, in
Ownership is required for claiming Interest deduction on home loan. 1970-01-01 00:59:59 I an working for an MNC in Bangalore. My permanent home is in a town in Madhya Pradesh. That house is not properly built, i need to take a loan for house reconstruction. But that property is in my father's name, so if i take a home loan should i get tax benefit?or property should be in my name? or can it be combined also (i.e. my brother/father's name along with me) jeetiitr1@rediffmail.comThe deduction of interest is given u/s 24 which starts with the line -"Income chargeable under the head "Income from house property" shall be computed after making the following deductions,". Since in your case, you do not own the property for which you want to take loan either singly or jointly, no income of house property is chargeable under house property head in your case . So, you , even if you get the loan, will not get the benefit of deduction of interest under I T Act However, if you get the roof of the property or even part of property in gift in your name from your father and build a Read more:Interest
, Ownership
PAN is Not Mandatory for NRIs.However, Better Do It. 1970-01-01 00:59:59 I would like to know that,whether a pan card is required for an NRI.actually my brother is residing in U.S.since Dec 2000.He came to India by dec 2001 for 30 days.Again he came to India during 2003 for15 days and during 2005 he came for 26 days.As of now he wants to invest in mutual funds &other investments.So I would like to know his residential status.whether he would require a pan?And whats the procedure to invest in India.Or how could he make investments in India?whether his returns through investments are taxable in India?do the needful regarding the above query. ammaialag@yahoo.com He is Non Resident.Strictly speaking , there is no requirements for obtaining PAN by Non Resident . This is on account of Rule 114(C)(1) of I T Rule , which says that Section 139 A of the I T Act is not applicable in case of Non-Resident. Second proviso to Rule 114B states that such person who are not required to have PAN should make declaration in Form 60 for entering into any transaction which requ Read more:Mandatory
Acquisition or Construction must be Completed within 3 Years 1970-01-01 00:59:59 I have following questions WRT House loan tax beneifits:1. After availing loan for house (under construction), if I am paying rent, can I claim both House rent beneifit as well as home loan beneifit?2. If I do not construct within
3 yrs after availing loan, will I stand to loose all home loan tax beneifit?3. As I understand, total interest paid for home loan during construction can be claimed for exemption only after completion of construction in 4 instalments (4 FYs). If yes, what is the ceiling on the amount. Is the limit of 1,50,000 is for interest paid during the current year + one of the 4 instalments paid during construction?Yes , till the time your house is not completed and you pay rent , you are allowed to HRA exemption as per computation under Rule 2A and benefit of home loan i.e principal payment can be deducted u/s 80C .Since proviso to Section 24 states "Provided further that where the property referred to in the first proviso is acquired or constructed with capital borrow Read more:Acquisition
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, Years
Section 194J is Not Applicable in Case of Non resident! 1970-01-01 00:59:59 Which Form is prescribed for TDS Certificate to be issued to the Non resident from whose income we have deducted tax (u/s194J)dreamsofprince@.inThere is only one form for any type of certificate other than Salary - 16A . You can get it from here. Before ,I part I must say that in case of Non resident , section 194 J is not applicable. Rather , you should deduct tax under section 195 of the I T Act. Please note the word Resident [in blue] in section 194J ;"194J. (1) Any person, not being an individual or a Hindu undivided family, who is responsible for paying to a resident any sum by way of (a) fees for professional services, or (b) fees for technical services, or (c) royalty, or (d) any sum referred to in clause (va) of section 28," Read more:Section
Agriculture Land Sale IS Tax Free! But Check if it is really Agriculture Land. 1970-01-01 00:59:59 We had ancestral agriculture land in Raigad Dist. It is 22 kms from any urban center ,.Pl advise us if we are exempted from paying capital gains tax under section 22(14) III. and not required to pay any tax or purchase 54F Bonds.madhuzende@hotmail.com Not all agricultural land is TAX FREE . While sale of "rural agricultural land" is tax free ;"Urban" Agricultural Land is not tax free. So , you should know when is the agricultural land is " Urban" in nature. This is defined in Section 2(14)(iii) as follows :"agricultural land in India, not being land situated-(a) in any area which is comprised within the jurisdiction of a municipality (whether known as a municipality, municipal corporation, notified area committee, town area committee, town committee, or by any other name) or a cantonment board and which has a population of not less than ten thousand according to the last preceding census of which the relevant figures have been published before the first day of the previous year; or(b Read more:Agriculture
, Check
10 Questions He Asked to Help His Friend. Good! 1970-01-01 00:59:59 A friend Mr Selvaraj sundaram_selvaraj@.in has not filed IT in his life even though there has been Form 16's with tax deductions. He has asked following questions to help his friend. Answers are given below the question itself(1) How to file the IT returns for the last few years? Answer 1: Even if one forgets to file the return during one year from the end of assessment year for any Genuine reason , still return can be filed . The commissioner of income tax who has the jurisdiction over your friend can be prayed u/s 119[2][b] of the I T Act for condoning the delay in filing the return.Your friend can file return even for six back years.(2) Will there be any monetary penalty for every year of non-filing? Answer 2: Yes, there can be , if commissoner thinks so . But if there is genuine reason , he may condone it . Frankly, few CIT will do that.(3) If for a particular year, if some tax is due, what is additional penalty. Answer 3: The rate of penalty is minimum 100% to 300% of tax sought
HRA Eemption is allowed only on One house. 1970-01-01 00:59:59 I am leaving in bangalore in a rented house,and my wife and kids are living in gurgaon in other rented house. Can i claim the house rent of both the houses under HRA exemption. anilthakan@gmail.comhe No, the exemption is allowed only on the residence taken on rent by the Assessee. Therefore, HRA exemption may be allowed only on the residence taken on rent by you and not by your family. Section 10 (13A) is as follows "'13A) any special allowance specifically granted to an assessee by his employer to meet expenditure actually incurred on `payment of rent (by whatever name called) in respect of residential accommodation occupied by the assessee, to such extent as may be prescribed having regard to the area or place in which such accommodation is situate and other relevant considerations.Explanation.For the removal of doubts, it is hereby declared that nothing contained in this clause shall apply in a case where(a) the residential accommodation occupied by the assessee is owned b
Why Stamp of Rs One has Great Value in Eyes of Law? 1970-01-01 00:59:59 Is it necessary to paste a 1/- Re revenue stamp on the rent receipt?2. Do I need to furnish every month's rent receipt to claim the HRA? Or can I just attach one month's rent receipt for the same.3pankajkalra@ernet.in The Rent receipt gets a legal sanctity when it fulfills the provision of law passed to regulate such transactions. As per Indian Stamp
Act , certain receipts should have to be affixed with stamp.Section 2(2 3) of the Indian Stamp Act 1899 makes it mandatory for affixing of stamp on any receipt as defined therein above Rs 5000 .[Previously it was Rs 500]2(23) "Receipt" includes any note, memorandum or writing-(a) whereby any money, or any bill of exchange, cheque or promissory note is acknowledged to have been received, or(b) whereby any other movable property is acknowledged to have been received in satisfaction of a debt, or(c) whereby any debt or demand, or any part of a debt or demand, is acknowledged to have been satisfied or discharged, or(d) which signifies or i Read more:Great
, Value
Grievance Cell will Take Care of refund Grievance. 1970-01-01 00:59:59 Can I get I.T. Refund for A.Y. 2002-03 and 2003-04, the returns having been filed on Aug. 09, 2002 and Mar. 31, 2004, the file being of non-salary business income(mabufacturing proprietory concern). I had attached Form No. 30, and the relevant TDS Certificates in original, alongwith the return papers. I have neither received the refund, nor the assessment order till date. Kindly expedite as to the procedure for claiming the refunds? daga.akshay@.com If refund is due, you will get not only refund but also interest upt the date of refund. You do following thingsWrite a letter to A.O , enclosing photocopies of return. Give a copy to the Add.CIT Range or JCIT range. After one month, you do not receive any reply from him, write a letter to Add CIT Range giving copy to CIT of that charge.If that also does not bring any success, write a letter to Grievance
cell , giving all papers. The grievance cell is generally in the Chief Commissioner Cell. I feel you will get refund expeditiously if
No Deduction of Interest under section 80C. 1970-01-01 00:59:59 Can the interest portion of the housing loan be eligible for 80C deduction before the possession of the house under construction. We do not intend to claim the deduction u/s 24 for Interest
on pre-construction period after the possession?monalisa_ch@indiatimes.comThe interest is not an allowable expense under Section 80C . You get deduction of principal amount u/s 80C . Further,you can not postpone interest u/s 24 of the I T Act.You can forsake it, but you will not get the deduction pertaining to one year in some other year. I do not understand the rationale of your forgoing the interest. Anyway, choice is yours! Read more:Deduction
Deduction of Interest is Allowable for more than One Home. 1970-01-01 00:59:59 I am a salaried individual living in my own flat in Bangalore, for which I have taken a home loan and paying emi. I also built a house in my native place which has been given on rent for which I have taken another home loan and paying emi. Can I claim IT deduction for the interest/ principal amount repaid for both the loans?U.RAJNIKANTHYes , you can. Under the I T Act, you have got an option to declare one house as self occupied house. For self occupied house , in case of individuals , interest is allowed as deduction upto Rs 1,50,000. Therefore, the house at Banglore in which you actual live, can be declared as Self occupied home and if any interest was apid for its construction or purchase , same is claimmable upto Rs 100000. Same is true for Principal amount.The Provison given u/s 23 of the I T Act is given below"(2) Where the property consists of a house or part of a house which— (a) is in the occupation of the owner for the purposes of his own residence; or (b Read more:Deduction
, Interest
Maximum Deduction of Expense on Cancer Patient is Rs 40000. 1970-01-01 00:59:59 I am treating my 8 month old child for cancer. The treatment expences are running beyond 1 lakh rupees in this 05-06 financial year itself. What is the maximum tax exemption that i can get for this year?I have also spent around Rs.25000/- for the same child for treating jaundice, when she was born in this same financial year (may-2006).Can i club these 2 expenses and claim exemption? mailstani@.comUnder the I T Act. there is only one deduction for person spending on cancer patient who is his/her dependent relative. The maximum deduction allowed is Rs 40,000 in Case of patient, who is not a Senior Citizen. The relevant provision is given a under"80DDB. Where an assessee who is resident in India has, during the previous year, actually paid any amount for the medical treatment of such disease or ailment as may be specified in the rules31 made in this behalf by the Board (a) for himself or a dependant, in case the assessee is an individual; or (b) for any member of a Hindu Read more:Cancer
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Receipt of Gift from NRI Son should be Shown in Return. 1970-01-01 00:59:59 My son in USA sends me post dated chqs for US$ 500 which I deposit in my bank a/c every month which is collected by the bank and credited to my a/c. Some times more money is sent for gifting to his sisters on a/c of various functions and rakhi etc which also is collected by me and gifted to his sisters in India by cheque by me from my a/c as the money is received from my son in my a/c. In a year I receive about 10000 to 12000 US$ in a year. I am filing IT return regularly but I have not shown this receipt in my return at any time. The money which remains surpuls with me is invested in shares or kept in fdr with banks and also in MF.The income derived from such investments by me is shown in my return and the tax is paid as per calculation. kindly advise if I have to show the receipts in IT return and what is the limit which I can receive from my son per year and is there any information also to be furnished to RBI. Kindly guide me in the matter. Thanks rcagrwal@rediffmail.com Since th Read more:Receipt
, Return
3 Years to be Counted w.r.t Monthly Investment under SIP 1970-01-01 00:59:59 My question relates to ELSS . In case of SIP in ELSS, will each monthly investment be subject to lock-in of 3 years or how else will be the treatment. leenus@indi.com SIP or Systematic investment Plan is nothing but a disciplined plan offered to ordinary investor as a tool to grow money. It has no other purpose. The lock-in-period of three years counted from the day, the said units/shares are transferred to you by the mutual Fund or Company. therefore, three years will be counted with respect to purchase done every month and not at the end of year. This is also beneficial to you. Read more:Monthly
, Years
Payments of Frieght to Chinease Shipping Companies not Subject to TDS 1970-01-01 00:59:59 We are a Freight forwarding company HQ at Cochin.We have recently indulged in forwarding business with our Chinesecounterpart. Now it is time for Freight remittance toChinese counterpart for an FOB import shipment. We need to know the I.Taxliabilities in this reg. especially in view ofDTAA with the Govt. of India & Govt. of China.Also advise further procedures / govt. dues if any for the freight remittance purpose.Belated New Year Wishes for 2007. padma@roup.co.inOne circulars and Article 8 of the Double Taxation Avoidance Agreement signed between India abd China gives the answer. The remittance to chinease counterpart , as facts narrated by you , is not taxable in India , therefore not subject to TDS provision.In my opinion, if the ships are owned by chinease , as per the DTAA signed with India, the profit of shipping profits are taxable only in China. Therefore, in my opinion ,the frieght remittance should be made without TDS , because if the income is not taxable in India, TDS shoul Read more:Companies
, Shipping
Agriculture Land Sale Is Taxable! 1970-01-01 00:59:59 I had purchased agricultural land (can be termed ad farm-house plot) on the outskirt of Pune. The distance is approx. 7.5 kms from Pune muncipal corporation limit. I had purchased this land before 28 months.Now I want to sell this land. My questions are:1. Can the income be exempted from capital gain tax?2. Is 36 months holding rule that is applicable to residential property will be applied to agriland?3. The cost of purchase was 10 lacs and selling cost will be 40 lacs than how much capital gain i will have to pay if I sell this agriland?pune_hin@yahoo.co.in.The capital gains is charged on capital assets sale. So first thing to determine is "whether the agriculture land , you have referred is Capital Asset or not?". Section 2(14) of the I t Act defines capital asset.The definition is as under:"(14) capital asset means property of any kind held by an assessee, whether or not connected with his business or profession, but does not include (i) ....... (ii) (iii) agricult Read more:Agriculture
Download Forms for REC Bonds .Hurry! 1970-01-01 00:59:59 Those were desperately searching for information of Capital Gains Bonds
for exemption u/s 54EC of the I T Act, rejoice. Download
the form from here .Rest of the info about the issue can be obtained from rural Electrification's website . Click here . The issue will remain open upto 31/3/2007 and minimumbond is of Rs 10,000 and maximum Rs 50,00,000. Read more:Forms
, Hurry
One Return for 15 Months or Two Returns for Two Years? 1970-01-01 00:59:59 I formed a company in January this year and have not filed the return for 31.3.2006. Can I file a combined return for 15 months or so at the end of financial year 31.3.2007?Are there any previous instances/case history?Regards,Ravi No , there is no such provision in the I T Act . You will have to file two returns for Asst Yr 2006-07 & Asst Yr 2007-08.The return under the I T Act is to be filed for financial year .The technical term for financial year in the I T Act is Previous Year.The previous year is defined under Section 3 of I T Act ."3. For the purposes of this Act, previous year means the financial year immediately preceding the assessment year : Provided that, in the case of a business or profession newly set up, or a source of income newly coming into existence, in the said financial year, the previous year shall be the period beginning with the date of setting up of the business or profession or, as the case may be, the date on which the source of income newly comes into ex Read more:Months
, Return
, Returns
, Years
Dedcution of Interest and Principal Are Allowed to Each Co-Owners Who Paid Interest on Home Loan 1970-01-01 00:59:59 Query 1 : I have borrowed a housing loan (Joint loan - Self, Spouse, brother), since the site is in my name and brothers name. But I am the only re payer of the principal and interest. Can I claim full tax benefits(even though the documents shows as joint loan , with three names). If yes, what is the procedure. rap_in@.com Query 2: The Land is the name of my father and we are four family members. Housing Loan is sanctioned in the name of all four members. Whether Housing loan Interest
and repayment of installment can be claimed by all the four members equally in their return if they repay installment equally. or is there any other way by which Housing loan interest benefit can be claimed by all the four members equally.Thanks Anil Seth There is specific provision u/s 26 of the I T Act for taxation of joint ownership . Section 26 of the I T Act states " Where property consisting of buildings or buildings and lands appurtenant thereto is owned by two or more persons and their re Read more:Owners
, Principal
Salary Earned In USA not Taxable in India! 1970-01-01 00:59:59 I live full-time in New York, NY (USA) and am a US citizen. I do not hold India
n citizenship. If I am employed by an Indian company headquartered in India providing a service to them outside India, must I pay Indian income taxes, apart from the US income taxes that I pay?feroz415@aol.comPrima facie , your salary is not taxable in India .The fundamental reason is that not only you are an Non Resident but also giving service outside india and that you are also receiving your salary outside India.Now , the taxability aspect of non resident under the I T Act . Income of non resident is taxable following circumstancesReceived in India orDeemed to be received in India orAccrue in India orArise in India orDeemed to Accrue or Arise in India.From the little facts you have given, I presume you are employed in a branch office of an Indian Company . As such , conditions 1 ,2,& 4 are not satisfied. Condition No 5 is also not satisfied becasue by virtue of section 9 (ii) of the I T Act Salary
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