Various Taxes on sale of India-based website to foreign company in USD

Shekhar (FT) (28 Points)

29 May 2020  

Hello,

I have a website which a US-based company wants to purchase. They will make the payments in US Dollars.

I want to know what all taxes will I have to pay for such a deal, as the website is a virtual asset (not a real tangible factory,office), the website is registered in India, the payment will be received in US Dollars currency, and my SBI bank will convert it to Indian Rupees.

Questions which I need help with:

1) What all taxes will I need to pay (any GST, foreign remittance tax, income tax, any special tax like sale of online asset or foreign income)?


2) Is there a threshold which I need to take care of (like receipt amount above USD 10,000 may attract some more charges/taxes)?

 

It will be really kind of the experts to provide their vital inputs for the above two questions.

 

Thank You