Hot answers tagged

8

Yes, you do. As a US citizen, you're required to declare and pay taxes on all of your income, regardless of what country the property is located in.


8

The test of being "Resident for tax purposes" is more complicated than just whether you stay for 183 days or more. You can find a number of articles describing it: this is a good one. If you have spent 183 days in the US in the current year, you are usually considered a resident. If you are a resident for tax purposes, then you file tax forms and pay tax ...


6

I haven't ever declared that I'm residing abroad and in Europe There is no declaration you need to make in India that you are Non-Resident. You acquire the status once you are out for more than 182 days. I don't have an NRO/NRE account and I've never files taxes as an NRI. Not having NRO/NRE account is fine. Not filing taxes as NRI is advised, however ...


4

My first question is do I have to pay tax in UK on the interest earned... Yes, you must declare your world wide income. From here: Since you are a resident in UK, you are required by UK tax regulations to show all global income on your UK tax return and claim a credit for taxes paid in India under the DTAA. According to UK tax regulations, those who live ...


3

Yes, you will. You can use form 1116 to calculate how much of the tax you paid in Panama can be credited to your US tax.


3

The Section 91 gives out the permissible deduction for countries where DTAA is not present. As per section 91 of Indian income tax act you can claim the benefits of state tax even though the DTAA does not have any provision of this. This was the ruling in the case of DCIT Vs Tata Sons as listed here. There is no reference of such relief available for ...


3

As per the DTAA the Social Security Tax is not considered. There is no mention of State Tax. As per the definition, only Federal Tax is considered.


3

From what I understand, you are an Indian Citizen, working directly for a US based company. The work location is in India. You are being paid in USD after deducting for US Taxes. You have no presence in US [ie don't have a house or Citizenship of any form] If the above understanding is right, your US Employer should not be deducting taxes as there is no tax ...


3

If you want to prove the actual tax liability you have in the US - you have to file a tax return. If the Romanian government believes you that the withholding is your actual tax - fine, but that would be a lie. Withholding is not a tax. The American payers must withhold from foreigners enough to have transferred more than the actual tax the foreigners would ...


2

As per some of the blogs on this topic 6) While the title of section 91 of Indian Income Tax suggests that it is applicable only in cases where India has not entered into a double taxation avoidance agreement with the respective jurisdiction, but the scheme of section 91, read along with section 90, does not reflect any such limitation. Section ...


2

These horror stories are true. It depends on the countries involved and the treaties between them. You'll have to talk to tax accountants in Canada and in Ireland who are also well-versed in the Irish-Canadian tax treaty (if such exists). You may end up paying taxes in two countries for periods where you only live in one or the other. You may even end up ...


2

Please consult a professional CA as Income from Outside India or only salary Open to interpretation Only federal tax can be considered as tax paid for relief Yes thats right. DTAA is here


2

As you have spent more than 182 days in India, you would be considered as Resident Indian for tax purposes for the financial year 1 April 2014 to 31 March 2015. India taxes on the Global income. So your income in US for the period of Oct 2014 to 31 March 2015 needs to considered in India. As US and India has Dual Tax Avoidance Agreement[DTAA], you can claim ...


2

The best way is for X to work as Independent consultant fro c.com from India by raising monthly invoices for the work done. This will avoid the complications and paperwork associated by registering a LLC in US by XF and then employing X as independent consultant in India. X may need to fill out W8-BEN forms so that there is no withholding in US Edit: ...


2

As you have spent more than 182 days in India you are considered as resident for tax purposes. You have to pay taxes on your global income. India and UK have dual tax avoidance agreement and you can claim relief to the extent taxes paid in UK.


2

In a situation like this the usual procedure is to file an extension instead of your tax return. When you get the Norwegian data then you file your real return. Note that the extension is only for the purposes of filing, not for paying--do your best to figure what you're actually going to owe and send that along with the extension request. (However, if ...


2

What options do I have to transfer money to UK from Pakistan ? You can do a SWIFT / International Wire. Most Banks in Pakistan will allow you to do this. Note: Pakistan still Manages Forex and it is not freely convertible. You would need to comply with Foreign Exchange Act. You have to fill Form "M" giving the details and purpose of remittance. In these ...


1

For the financial year 1 April 2015 to 31 March 2016, as you will be spending more than 182 days you would be deemed Non-Resident Indian for tax purposes. Hence the income you earn outside India would be tax free in India. You can transfer funds into India or keep it in China, this does not change the tax situation. Ensure that you have converted your ...


1

For the financial year 1 April 2013 to 31 March 2014 as you have stayed more than 182 days in India, you are deemed resident for tax purposes. You Global income would be taxed [it does not matter whether you have transferred the funds to India or not]. India and US have DTAA and you can claim relief to the extent of taxes paid.


1

For the financial year 1 April 2014 to 31 March 2015, you are deemed "Resident" for tax purposes. Hence you have pay tax on your Global Income. Do I have to pay any tax in India for this duration. Yes. You need to consider the local salary, the amount deposited into India as well. If I have to pay any tax in India ,can I claim my expenditure for my ...


1

From you question it looks like from tax point of view you are "Non-Resident" in India. And "Resident" in US. From India tax point of view, any gains will be taxable in India. US taxes global income, hence you would need to pay taxes in US as well. You can claim relief to the extent of taxes paid in India.


1

India and US follow different calendar year. From India tax point of view for the period of 1 April 2014 to 31 March 2015, your US income from the period end Oct 2014 to 31 March 2015 needs to be included. Note for the period 1 Jan 2015 to 31 March 2015, you need to pay tax in the US and claim relief in India, rather than other way round. There is dual tax ...


1

The United States taxes nonresident aliens on two types of income: First, a nonresident alien who is engaged in a trade or business in the United States is taxed on income that is effectively connected with that trade or business. Second, certain types of U.S.-source payments are subject to income tax withholding. The determination of when a nonresident ...


1

The exact date when you went out of India matters. If you have spent more than 182 days in you are Resident Indian and the global income is taxable in India. So for the period of Oct-14 till 31 Mar 2015, the salary you have received in US will be taxable in India. Please consult a CA for specifics of you case. India and US have DTAA


1

For the financial Year 1 April 2014 to 31 March 2015, you have spent more than 182 days in India and hence you will be treated as "Resident Indian" and not "Non Resident Indian" for tax purposes. As Resident Indian, you will have to pay taxes on your global income. So in your case you have to declare your income earned in US from Oct 2014 till 31 March ...


1

From an Indian Tax point of view, you can bring back all the assets acquired during the period you were NRI back to India tax free. Subject to a 7 years period. i.e. all the assets / funds / etc should be brought back to India within 7 years. It would still be treated as There are certain conditions / paperwork. Please consult a CA.


1

The transaction will be taxable in India. You will have to pay Capital Gains tax. I am assuming that you purchased the house while you were Indian Resident for tax purposes. As such its needs more paper work to get the money back to US. Consult a CA in India who will help with the paperwork. You haven't mentioned your tax status in US, one you update it, ...


1

In the first few pages of the 1040NR instructions for each year, there is a section called "Who Must File". That will answer your question.


1

India and US have a DTAA and you can claim relief to the extent of taxes paid. Please consult a CA would will help you with the specifics of your case. Related question 233 days India/132 days US - entire US salary taxable in India?


1

By earning money, I assume you are being paid a salary [and not allowance] in UK. For the Financial Year 2013-2014: You are still a tax resident in India. India taxes Global income. Hence your salary from 4th Feb to 31st March, needs to be declared as Income. The tax will be at your total tax brackets. India does have a Double Tax Avoidance Treaty [DTAA] ...


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