Income tax for Indian leaving the country
This query is : Resolved
20 October 2017
A person, lets say X earns 90K per month from US for research services provided in India. No TDS or Form 16 compliance is done here. Gross salary is the net salary.
X wishes to leave India in January 2018 (for good uncertain years) and wants to know the income tax compliance.
According to me, X has to pay income tax for the current financial year and fill up Form 30C for Income tax clearance certificate.
What are some good tax saving investment options for X so that income from investment and the maturity of the investment doesn't become taxable in India?
Are there any other compliance, like appointment of a legal representative in India?
20 October 2017
According to me, X has to pay income tax for the current financial year and fill up Form 30C for Income tax clearance certificate.
Yes, you are correct.
Yes, you are correct.
20 October 2017
What are some good tax saving investment options for X so that income from investment and the maturity of the investment doesn't become taxable in India?
Investment options are available as in the case of any other individual assessee - 80C deductions up to Rs.1.50 lacs.
I'd suggest that he invest the amount in a ELSS fund as the lock in period is 3 years and the gains will be tax free on redemption.
PPF: has a greater lock in and requires that you invest a minimum of Rs.500 p.a.and should be maintained for minimum 15 years.
ULIP/LIP: Absolute No as it does not serve any purpose.
Investment options are available as in the case of any other individual assessee - 80C deductions up to Rs.1.50 lacs.
I'd suggest that he invest the amount in a ELSS fund as the lock in period is 3 years and the gains will be tax free on redemption.
PPF: has a greater lock in and requires that you invest a minimum of Rs.500 p.a.and should be maintained for minimum 15 years.
ULIP/LIP: Absolute No as it does not serve any purpose.
20 October 2017
NPS Investments are not tenable unless the assessee needs to build his nest egg.
In any case, ELSS will win hands down in my opinion
In any case, ELSS will win hands down in my opinion
20 October 2017
Are there any other compliance, like appointment of a legal representative in India?
Once the assessee gets the clearance upon getting form 30C filed that absolves him of all tax liabilities and i dont see any reason to appoint one.
Once the assessee gets the clearance upon getting form 30C filed that absolves him of all tax liabilities and i dont see any reason to appoint one.
20 October 2017
Even though there is no requirements for appointment of legal representative, the assessee may still register any relative as a legal representative
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
- STCG....................................................
- Supply through E-commerce Operators
- Sales return eway bill
- TAN for Partnership
- Relief u/s Section 89
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- E way bill for tractors
- GST Registration Horse racing
- Section 43B(h) – MSME Invoice Paid Before Year End but After 45 Days
- Taxation on LTCG for property sold after 24JUL2024
- TDS related Query_Liquidated Damages
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- Nomination of Bank for refund in itr 2
- 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
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
