banner_ad

How and where to declare Dividend income from RSU listed in US in ITR2 for AY 2023-24

ITR Filing 749 views 1 replies

Hi, How and where to declare Dividend Income from foreign RSU (US) accrued in Calendar year 2022-23 in ITR2 for AY 2023-24 ? TDS at flat rate of 25% is already deducted at US end and corresponding  form 1042-S is available.

 

Replies (1)

Hey! Here's how you can declare dividend income from foreign RSUs (US) in ITR-2 for AY 2023-24:


Step-by-step to declare Foreign Dividend income (like from US RSUs) in ITR-2:

  1. Go to Schedule FSI (Foreign Source Income)

    • This is where you report income earned outside India.

  2. Enter details of Foreign Dividend:

    • Country: USA

    • Nature of income: Dividend income

    • Gross amount of dividend received (before TDS) in INR (convert using prescribed exchange rate)

    • Tax deducted abroad (TDS in US, like 25%) also to be reported here

  3. Claim Foreign Tax Credit (FTC) under Schedule FSI:

    • The tax deducted abroad (shown on form 1042-S) can be claimed as FTC in India (subject to the DTAA provisions and maximum credit allowed).

    • Enter the amount of foreign tax paid (TDS at 25%) in the relevant columns.

  4. Currency Conversion:

    • Convert USD dividend and TDS amounts to INR using the prescribed RBI/Income Tax exchange rate for the relevant financial year.

  5. Total income from foreign sources will be added to your total income.


Important Notes:

  • Dividend from foreign RSUs is income from other sources in India, taxable at your slab rate.

  • TDS at US end is not a final tax in India, but credit can be claimed against Indian tax liability on that income.

  • Keep your Form 1042-S and proof of dividend receipt handy as supporting documents.

  • Also mention dividend income in Schedule OS (Income from other sources) in ITR as a summary but main details are in Schedule FSI.


If you are using online ITR utilities or software, they will have a specific section for Foreign Income under Schedule FSI where you can enter these details.


Would you like me to help you with a sample data entry or a step-wise screenshot guide for the ITR form?


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Related Topics
Loading
Company
24 May 2026
Accounts & Tax Executive

PARAS KHURANA AND CO

New Delhi

B.Com

View Details
Company
27 May 2026
Audit Assitant

Virender K Gupta and Co

New Delhi

B.Com

View Details
Company
29 May 2026
Accounts assistant

Shubh Consultancy

Mumbai

Graduate (Any)

View Details
Company
ARTICLESHIP 08 June 2026
Internal & Taxation Article

O P Bagla & Co LLP

New Delhi

CA Inter

View Details
Company
16 May 2026
Audit clerk

mgirt & co

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 15 May 2026
ARTICLE ASSISTANT, TRAINEE AND PAID ASSISTANT

YOGESH KAPOOR AND ASSOCIATES

New Delhi

B.Com

View Details
Company
21 May 2026
Associate

PWC

Kolkata

CA

View Details
Company
19 May 2026
Article, CA & Paid Assistant Positions

Aggarwal Sarawagi and Co

New Delhi

CA

View Details