Find a tax office, tax professional near you or reschedule your existing appointment with HR Block. Make an appointment file your taxes todayAs a non resident Indian have you been grappling with the constant challenge of how various incomes would be taxed in your home country and in India Are your decisions related to remittances, investments, property purchases and rentals marred at the thought of taxes Though tax laws in different countries are difficult to fathom, they arent as perplexing as you thought. Take for instance the income from abroad. The ground rule is that income which is earned outside India by an NRI is not taxed in India. Similarly, there are a host of other incomes that arent taxed in India, but may or may not be touched in the country you are residing in. We present a simple guide for Non resident Indian to assist them in saving taxes by understanding which income will be exempt and which wont. Who Needs To File Income Tax Return India' title='Who Needs To File Income Tax Return India' />Income exempt in India. Most NRIs have bank accounts in India either non resident external accounts or foreign currency non resident account. The good news is that though Indian residents have to pay tax on their savings bank account interest above Rs. NRIs are excused. No taxes are to be paid on the interest arising out of these bank accounts. You need not worry about paying taxes on income you earn abroad. Also, gains from money sent home to family members or for investments are exempted taxed at concessional rates under specific scenarios. Income Taxed in India. Gains long term or short term from investments or sale of assets such as house would be taxed in India. Also, rental income is taxed in India, but a standard deduction of 3. If you have inherited assets from Indian parents or relatives then you wouldnt have to bear taxes when you gain control of these assets. But later, recurring gains such as rental income or income from sale or transfer would be liable to tax. Exempt in India, Taxed abroad. There are certain conflicts with regards to specific income with regards to tax laws in different countries. As a result, you would have to bear the brunt of tax in your new country. For instance, dividends distributed by Indian companies are exempt in India, but taxed in countries such as US. Select long term capital gains from Indian investments are exempt in India, but taxes are applicable as per the rules of the country you now reside in. Calculating taxes. If you only have capital gain income from shares and securities in India then you would not get the basic exemption limit. Your shares, mutual funds and other assets when sold in India would be taxed just like residents. Reverse charge mechanism is not a new concept in service tax. Under the reverse charge mechanism, instead of service provider, the service receiver is liable to pay. Filing income tax returns has always been a struggle for Indians. From filing out the lengthy paper work to understanding the basic documentation required to file. Jul/taxi-11_1437395066.jpg' alt='Who Needs To File Income Tax Return India' title='Who Needs To File Income Tax Return India' />2017 vs 2018 Earned Income Tax Credit EITC Qualification and Income Thresholds. Circular No. 282017 Clarification on Indirect Transfer provisions in case of redemption of share or interest outside India under the Incometax Act, 1961. Equities held for more than a year are exempt only in case of STT paid else it is taxable 1. The entire gain made on investments in non equity fund up to 3. July 1. 0, 2. 01. While those redeemed after 3. Download Pinball Games there. In case of assets other than Shares securities sold before 3. Also remember that to avail the benefits of exemption under section 5. EC and 5. 4F, and these can be availed only in case you invest the proceeding in India. Paying taxes. Under most situations taxes would be deducted before making you payments, be it investments or rents, as mandated by the section 1. Income Tax Act. But, if there are additional liabilities then you can pay the taxes online through a seamless process. Tax filing. Even though you may have to face the tax brunt, it doesnt merit filing income tax returns unless your income exceeds the threshold limit. If your earning from all sources put together rent, dividend, capital gains, investment income, etc shoots beyond Rs. Lacs Rs. 3 Lacs for those between 6. Rs. 5 Lacs for those above 8. When your income exceeds the threshold, you should check whether you can skip filing tax returns through provisions under Chapter XII A. Here, if all taxes have been deducted at source for specified income then there is an option wherein an NRI need not file a return. Also, if this income earned is a result of sale or transfer or regular income from foreign exchange asset then an NRI need not file tax returns. However, while filing returns in the country you reside in you should declare the Indian Income as you would get tax credit in countries in a Double Taxation Avoidance Agreement DTAA with India. Steps to save taxes. Though one cannot escape tax completely, but she can claim deductions by investing in various investment avenues eligible for 8. C. However, as an NRI you arent permitted to invest in National Saving Certificates NSC, Senior Citizens Savings Scheme, Post Office Time Deposits or open new PPF accounts or extend them. Other taxation benefits under home loan, life insurance, pension plan, equity linked savings schemes of mutual funds are allowed. Tuition fee paid for spouse or children in India too can be claimed for deduction. Health insurance policies or health check ups paid for parents or dependants in India too are allowed for deduction under section 8. D. If you arent willing to buy another property using the sale amount to save taxes, then long term capital gains arising due to sale of assets can be invested in tax saving bonds such as those issued by NHAI or REC. But these are capped at Rs. Lacs. Also, investments into foreign currency bonds are taxed at 2. So, you can claim a lower tax rate by investing in these bonds. H R Block India strives to blend tax expertise with a strong focus on continually improving the client experience to provide all its clients with an unparalleled value proposition for E filing their Income Tax Returns Online. You Major Ed In What Pdf Software'>You Major Ed In What Pdf Software. Visit hrblock. in for more information or to find your nearest office to find assistance to file taxes.