Foreign salary income and itr 2 ?????

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This query is : Resolved

Tejas (Querist)

11 August 2011 hello ....if someone could provide an opinion regarding the following :-

a person ( male ) having Indian salary income and also foreign salary income for fy 2010-2011….
status of person is determined as resident ordinary resident for fy – 2010 -2011…and so his global income will also be taxed in india….

now is this calculation correct ….pls help….

Indian salary income 6,00,000

Foreign salary income 25,00,000

interest income ( India ) 50,000
----------------
Gross Total Income 31,50,000

Less :- deduction u/s.
80 C ( PPF , LIC , ULIP ) 1,00,000
80 D ( health ins.premium ) 15,000

80G ( donation ) 1,50,000
( 3,00,000 @ 50 % ) ----------------
Taxable Income 28,85,000
----------------
Tax Payable incl.cess 7,41,085

Less :- Tax Relief U/s.90 2,57,500
DTAA exist with foreign co.

Less :- T.D.S. ( Indian salary ) 35,020
---------------
Balance Tax Payable 4,48,565

Is this correct way of calculating ????

and can it be filled up the same way in
ITR – 2 under the head salaries – showing both india and foreign income and claiming deduction and relief…..

or should the foreign salary income be shown in Special income schedule ( SI ) in ITR 2 …??
bcos if foreign salary income shown under Schedule ( SI ) then deductions under chapter VI A will not be available …right ??????

thank u….

CA PARAS BAFNA

CA PARAS BAFNA (Expert)

22 August 2011 In my view, the income covered under DTAA has to be shown under Schedule SI as under
Item No 21 of Schedule SI Section Code for Double Taxation Agreement has been specified as DTAA.
.

"bcos if foreign salary income shown under Schedule ( SI ) then deductions under chapter VI A will not be available …right ??????"
It's not so. Chapter VIA deductions will be available.

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