Nri income tax for independent contractors

hi..

you wont be allowed to credit fun s to your NRE Ac. Because Only foreign funds can be credited to NRE Account and not Indian Funds. 

You will have to give NRO Ac details only.

Further do note that NRE Account is not tax free. Any interest on NRE Deposit is tax free. So if any income which is generated through investment from NRE Funds would be taxable in normal course and wont be tax exmept.

Once you receive funds in NRO Ac you may easily transfer the same to your NRE Ac by fulfilling certain documents and obtaining a CA Certificate.

Do write if case you have furhter queries

CA Khushboo Dodhia Vora

Thanks a lot for the info Khusboo.

However, the funds I am talking about are foreign funds. The situation is "One of my client in U.S will be transferring funds in December for the work I am doing now." Hence if the funds are transferred to my NRE a/c,  will it be taxed in India ?

Hi.. 

To your further queries, I would like to state as below:

Irrespective of the fact that whether you are considered as Resident or not, the said income would be taxable in India because you are providing services from India and hence it would be considered as income accrued in India and hence taxable in India.

Will I be able to show it under DTAA ?
What is the procedure of showing it under DTAA ?