Double taxation
This query is : Open
28 June 2012
An Assessee is a resident but not ordinarily resident. He has interest income from deposits in Australia. Tax is deducted on such income in Australia. I want to know the tax treatment of such Interest?
29 June 2012
Such interest income taxable in India. However credit of taxes borne abroad can be availed.
Message likes :
1 times
29 June 2012
here, the other country is australia and tax has been deducted from such interest
29 June 2012
ok sir, But since he is a not ordinarily resident, liability of tax in india arises only if such income is from a business controlled in or a profession set up in India. this interest income is from a savings bank deposit. that means other sources. it is stated that dtaa overrides income tax act. but whether the concept of double taxation arise in such a case is my question.. (as it is not taxable in india)
30 June 2012
In that case consider looking into the source of such deposits. In case if the deposits are made out of surplus from the business/prof, then the income shall be taxable. Either way in my view it will be difficult to argue on this version to conclude that income is not taxable in India.
Message likes :
1 times
30 June 2012
Source is australia only. he was a salaried person over there. if the income has to be taken in india, which date should be taken for determining foreign exchange conversion rate? interest is credited monthly to his account.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Refund Annexure-B
- Liable to deduct tds and 44ADA
- Sale of Equity shares for Purchase of Residential Property
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- ECO SUPPLY REPORTIONG IN GSTR-1
- Is Interest applicable for payment made through credit ledger vide DRC03 for FY 2020-21 & 2021-22
- CCFS 2026 Schemed
- Subscription paid to foreign customer
- Two seprate Invoice needed
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
