Indemnity bond notarization for Income Tax (NRI outside India)

Hi,

The Income Tax Department has asked me to submit an indemnity bond for challan assessment year correction. I am an NRI and currently outside India.

I referred to CBDT Circular No. 8/2015 (https://www.incometax.gov.in/iec/foportal/sites/default/files/2020-08/Circular_No.8_2015.pdf) and from that, my understanding is that the indemnity bond needs to be executed on ₹100 non-judicial stamp paper.

My only question is: How can such an indemnity bond be properly executed and notarized when the taxpayer is an NRI abroad?

Also, please confirm if my understanding about ₹100 stamp paper is correct.

Thanks in advance 🙏

Replies (6)
Quick Summary
NRI required to submit indemnity bond for Income Tax challan correction. Usually executed on Rs.100 non-judicial stamp paper. Since taxpayer is abroad, correct legal method is signing and notarization/attestation at Indian Embassy or Consulate. Courier signing is a common workaround but not strictly legal.

  • What people often do: A relative buys the ₹100 Stamp Paper in India, couriers it to you abroad, you sign it there, and courier it back.

  • The Risk: Legally, this is incorrect because the "Place of Execution" (signing) is outside India, but the paper is Indian. However, for minor procedural issues like challan correction, the Income Tax Department often overlooks this technicality and accepts it.

  • If you choose this: Ensure you do not get it notarized by a foreign notary (as that proves you signed it abroad on Indian paper). You would simply sign it and send it back. I do not recommend this for strictly legal matters, but it is a common practical workaround.

Thanks Ashok for your reply, what would be the legal way to do it?

Should be motorised by Indian Embassy where u r residing

Notorise before Indian Embassy where u reside

On bond paper of 500 rs NJBPaper

If motorised in front of ambassy plane paper is ok

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