Hii everyone,
One of my client have earned foreign income through providing consultancy services to U.K. (TATA Company) and the foreign company have recovered tax on the income earned by him i.e., HM Revenue and Customs. The Pounds earned by him were considered by me as per the TTBR(Telegraphic Transfer Buying Rates) and converted into Indian rupees i.e., 22853.42 pounds ( Rs.22,77,256/-) and HRMC recovered by the TATA company is 2802.4 pounds(Rs.2,77,812/-). Now how the income should be considered by me in the ITR and the HMRC recovered by company. The taxability of the foreign income in India as well as the tax relief should be considered by me under which section. as he is also earning income through business in India as a consulting engineer. He has earned business income in India from April to July & foreign income from mid of august to January. So, how the foreign income should be taken by me & taxability of income.
Kindly, Reply as soon as possible.
Thanks in Advance
CAclubindia
