24 June 2014
hello in one of my client company there is a 3 director of which one is residing abroad for last 8 years. all directors are in same family. the person who is nri,his account, bank was operated by the relative. his income tax return also file in india as a resident. because ha has a interst income and speculation income in india.all the transaction made in the names of the person. tds also deduct as a resident person. all payments made in indian currency.
1 my question is whether it is correct to show him as resident person.? 2. what is the treatment of transcation made to him. 3 the company is pvt ltd in which he has shareholding more than 20% and he has a director in that company. 4. can i in this year shows him as non resident and file his return accordingly.
5. all the provision of non resident apply or not pls reply as soon as possible
25 June 2014
In your case, All the provisions of Non Resident should apply. He should file his return as Non resident only. and as for as being a Director in the company with more than 20% of the shareholding and non resident, the provisions new companies Act, 2013 will be applicable. Take care that too.
07 July 2014
thanx 4 ur reply. NOW MY ANOTHER QUESTION IS A PERSON IS NRI IN INDIA HAVING INTEREST INCOME RENT INCOME. BUT TOTAL INCOME IS BELOW TAXABLE LIMIT AFTER DEDUCTING 30% STANDARD DEDUCTION FROM RENT.HE HAS A DIRECTOR OF COMPANY AND RECEIVED INTEREST FROM THAT COMPANY. 1 CAN COMPANY HAVE LIABILITY TO DEDUCT TDS ON INTEREST EVEN IF THE INDIVIDUAL HAS NON TAXABLE INCOME 2 IF YES THEN AT WHAT RATE THE COMPANY HAVE TO DEDUCT TDS. REPLY AS SOON AS POSSIBEL ITS URGENT THANX
CAclubindia
