Hello
I am looking to move to India (british citizen) and work in India. The job I have been offered has a salary in excess of 20lacs per year. I am tryiny to work out what the best way maybe to reduce income tax payments. There is a possibility of working as a consultant. If so is there a benefit to this.
1. How much tax do I pay, is it approx 10% or 20% TDS. Also if the tax rate in the UK is 40% for high earners, does this mean in the UK I will need to pay another 20% if I move the money back to the UK, or does the DTAA take care of this
2. Can I make deductions and get a refund from TDS at the end of the year, if so is there a limit to what can be claimed in each category.
3. I will have a car, and will need to travel to office a lot, 80km each way per day, can the cost of the car + petrol be reclaimed
4. My home will be rented, I may work from home the odd day, hence can it be claimed it is a home office, or do you need to spend a certain amount of time working from it
5. I will be spending more than 190 days in India per financial year
I know its alots of questions, but this forum seems the place to ask. Hopefully armed with some useful information I may then hire a CA when I get to India
John
CAclubindia
