Foriegn Tax Credit and Form67

Manish Okta (11 Points)

27 October 2021  

Hi Experts,

I moved to Canada for job with my family in Oct 2020, after spending 200 days in India.

I earned salary in India between April 2020 till Oct 2020.

I earned salary in Canada from Oct2020 onwards.

Since I stayed in India for more than 183 days (I was in india in all previous 10 years ) I am a Tax Resident in India as well as in Canada (residential ties).

1. Am I liable to pay tax on my Canadiam Income as well from Oct2020 to March 2021 ?

2. If yes, while filing Form67 for tax relief as per DTAA to get Foreign tax credit, Can I attach my salary slips (employer provided pay / wage statements) as a proof of nature of income, income paid and tax deducted/paid? Is that considered a valid proof? (As Canada tax year runs from Jan to Dec, there is no T4 (or any canadian proof document similar  to Form16 or 26AS) available for year 2021?

3. What if there is a Foreign tax refund but only after March 2021? Is that tax refund to be reduced from Foreign tax paid for calculating Foreign Tax credits against income offered for tax in india FY 2020-21?

Appreciate your response.

Thanks,

Mani