i'am an indian citizen, staying in India,employed with a co. in Hongkong. Salary is credited into my Indian Bank Account after 2.5% Tax deduction as per the prevailing laws in Hongkong. do i still have to pay Inome Tax in India. please suggest methods .
RE:Income tax
by on Apr 30, 2007 08:09 AM
Dear Shiv I am sandeep also employed in Hong Kong. In your case, since you are employed outside india, your tax liability will be determined according to your resident status in the relevant Financial Year. If you are Non Resident for a Financial Year, you are not subjected to pay tax on your Income earned in any Financial Year. Since your only part of salary is being remitted to India directly, would not attract Income tax as per Indian Laws, as you are already paying tax on your salary in Hong Kong. Regards Sandeep 22708422.
am a salaried employee owning a car in my name. Can I get exemption in respect of my Driver's salary paid by me? To what extent I can claim and can I claim it in my returns? Pl advise the formalities.-Raam
I am a salaried employee having a car ni my name. Can I get exemption in resoect of Driver's salary paid by me? To what extent I can claim and can I claim it in my returns? Pl advise the formalities.-Raam
RE:Tax exemption on driver's salary
by Ramakrishnan S on Apr 30, 2007 07:25 AM
No, any car maintenance expenditure including driver's salary not deductible in case of salaried employees.
I am an engineer and have been working with an Engineering consultant in UAE for last one year. I send my earning in my NRE account in India. For previous years I had been filing my return as I was making my earning in India. I have even PAN. This time I will not have FORM16 issued by the compnay. Now can you tell me how to file return for the coming year? What should I attach with my SARAL form this time? Thanking you Regards Ashish J.
RE:Return Filing for NRI residing in UAE
by Amitabh on Apr 30, 2007 07:30 AM
If you do not have any taxable income in India and if you are a non resident,you need not file any return.Mere having a PAN does not make it madatory for you to file a return.
If one invests one lac in shares in a financial year and sells few shares after say 6 months earning Rs.20,000/. Howevever the value of shares of balance shares comes down because of crashing of market to the point that total shares value becomes say 90,000/= meaning total loss of Rs.10,000/=. Still one shall have to pay tax on Rs.20,000/ earned or no?
RE:Long term capital gain fron transfer of securities
by Amitabh on Apr 29, 2007 02:31 PM
Yes,one has to pay.Any gain or loss when you are not selling the shares is purely notional and will not be taken into account for calculating taxable income.The fact is that you have sold the shares and have incurred gain on those.And as the shares were with you for only six months,the gain on sale will be short term capital gain and tax has to be paid thereon,the market value of other shares may have gone down in this period,that does not matter.You can take that into account only if you sell the other shares also at that low price and actually incur loss.
RE:great!
by Binay Sharma on Apr 29, 2007 01:43 PM
rediff may have its own interest in advertising a book in the name of "News". They should know, people visit rediff for news and not for advertisement ! Regards, Binay Kr. Sharma
I have heard that LIC declared a dividend for LIC policy holders last year or a year ago. Could you please let me know if the amount actually gets accumulated and is paid at the end of the policy or is it paid thru a cheque in the same year of declaration of dividend?
Iam a software professional working for a software company having their private provident fund trust. I have been told that if i quit before 5 years and opt for withdrawing the PF amount rather than transferring it, 30% tax will be deducted from my PF amount. Please provide some clarification.
RE:Tax deduction on Provident Fund
by Amitabh on Apr 29, 2007 01:03 PM
Any accumulated balance of recognised provident fund due and payable to the emplyee is exempt if any of the following conditions are satisfied 1.Emplyee has rendered a continuous service of more than 5 years OR 2.The service is not continuous and has been terminated by reasons beyond emplyee's control such as ill health,cessation of emplyer's business,etc OR 3.The balance has been transferred to another recognised provident fund on cessation of employment. So it is clear that unless you can show point no 2,the service has to be for more than 5 years or PF balance has to be transferred to a recognised provident fund. All this is as per sec 10(12) of the Income tax Act 1961 3
I'm a NRI living in Singapore . Is the money which I transfer to India (from Sing Dollars to INR) taxable ? I have already paid tax to Singapore Government and I'm transferring the amount to my brother's savings account in India . Should my brother have to pay tax for that amount ?
RE:Can Someone Clarify Please
by Jagdish Nagdev on Apr 29, 2007 12:16 PM
Dear Sir This is with referene to your query on transfer of funds from SingDollar to INR in your brothers S B A/c. First of all I wish to state that since you are transfering to your brothers A/c, hence there is blood relation so it will not be taxable in his accounts. Now wether it will be taxable in your books or not depends on certain conditions of NRI defined in Finance Act. Now wether you qualify to those conditions to be tax free depends on your status & since when you are NRI. I can clarify this further once I get feedback from your side. Please feel free to wite to me @ jagdish_008@rediffmail.com / jagdishn_008@yahoo.co.in Thanx & Rgds Jagdish
I am an Indian, deputed to my Co's subsidiary in Nepal, for a few yrs. My salary account is at India where the salary gets credited - subsequently the amount gets debited to the subsidiary at Nepal. What should be my status as far as IT is concerned? Thanks in anticipation of response/ guidance. Regards, Sam
RE:Income Tax Liability
by Amitabh on Apr 29, 2007 11:13 AM
You are a non resident in India but since you are receiving the salary in India,you have to pay tax thereon in India.As you are a resident of Nepal,you may also taxed for the same there.If that be the case,you have to take recourse to the double taxation avaoidance agreement if any exists between india and nepal to get relief.However,sec 91 of income Tax act allows tax credit for doubly taxed incomes even where no DTAA exists bbut that relief is avilable only to indian residents.
RE:RE:Income Tax Liability
by Jagdish Nagdev on Apr 29, 2007 12:19 PM
Dear Sir I wish to clarify here fuether that if income is transfered to Indian a/c by the subsidiary co. in foriegn currency the same will be exempted from being taxed. If the local co. tranfer the salary here in INR the same will be taxed. Regards
