India’s taxation system is perceived to be the most complex globally. With the direct taxation laws in India constantly amending to reflect the changes in the economy and policy of the government, handling tax function in most companies can be challenging. There are number of additional restrictions on domestic as well as international transaction between companies. It becomes imperative to manage the tax in order meet the deadlines of income tax compliances.
Recognised among best tax advisors in India, AAPT CORP can advise you on all direct tax-related matters and offer you services like income tax assessment, tax assessment, income tax notice, income tax filling in India, with innovative tax efficient strategies, identifying the tax risks associated with your business and evaluating them in order to execute effective controls in time. With a myopic vision for the development of client businesses, we can collaborate with you in each exercise to deliver productive results.
We believe that the valuation of a company is more of a collaborative effort between our experts and the founders of the company we are doing the exercise for. With the support of the founder, we understand the business model better, which in turn gives us more insight into the operational aspects of the business. This helps us in preparing a better financial model and give inputs to the founder to further better their business model so that it can be investable.
Foreign Corporations/entities/individuals working for Indian businesses are subject to withholding tax on several payments. Determination of the actual withholding is based upon several factors like the nature of services, the rate of tax provided under the Indian Income-tax Act, 1961 for such services and the tax rate provided under the Double Taxation Avoidance Agreement (DTAA) between India and the country of residence. In several scenarios, the DTAA may provide a lower tax rate or no taxability at all but to avail these relaxations, the persons would be required to furnish a Tax Residency Certificate which is to be accompanied by a Form 10F which is required to be filed online.
Purpose of Form 10F:
Applicability Check:
The electronic filing of Form 10F is mandatory. Generally, the non-resident persons are required to do tax filing in India to report the incomes on which the benefit of DTAA is availed and consequently will need to obtain PAN (Permanent Account Number i.e. the Tax Identification Number in India). The login created on the tax portal for the purpose (https://www.incometax.gov.in/iec/foportal/) can be used to file Form 10F as well.
Non-resident persons who are not required to obtain PAN or haven’t obtained it yet, can file form 10F from the same tax portal (https://www.incometax.gov.in/iec/foportal/) without creating a login. Some basic details and documents would be needed to file the same.
Assistance In Filing:
The payers in India would insist for TRC and Form 10F before remitting the consideration of goods and services availed from the non-resident persons. Our team of professionals has helped several foreign individual and entities in obtaining the same.
