Yes — and here’s how it works. Many NRIs wonder if they can still claim the foreign currency capital gains benefit under Section 48 when: 1. Shares Are Gifted or Inherited Absolutely — if the original purchase was made using foreign exchange. Bottom line: The benefit follows the asset — not the person. 2. Gains…

When Non-Resident Indians (NRIs) invest in Indian capital markets, the outcome of their investments depends on more than just market performance. Currency fluctuations can significantly alter the real return on investment—often creating a mismatch between notional gains in Indian rupees and actual gains (or losses) in the investor’s home currency. To address this, Indian tax…

In a world of increasing cross-border transactions, businesses often find themselves navigating the complexities of TDS (Tax Deducted at Source) under Section 195 of the Income Tax Act. One of the most common questions professionals ask is: Can the payer compute the taxable portion and deduct TDS on their own, or is it mandatory to…

Are you deducting TDS under Section 195 on foreign remittances? Here’s a twist that could either save you money—or land you in a compliance trap. Many businesses and finance heads grapple with one key question: Should TDS under Section 195 be deducted on the gross amount or just on the income portion of the payment?…

If you’re an NRI living in the United States and investing in Indian mutual funds, you might assume you’re making all the right moves for long-term wealth creation. But there’s a hidden tax trap waiting to bite—and it has everything to do with mismatched tax systems between India and the U.S. So, will you pay…

If you’re a UAE resident investing in Indian mutual funds, a common question arises — Will I be taxed on my mutual fund gains in India? Short answer: No.But it comes with a few key conditions. This tax treatment stems from how India’s domestic tax laws interact with the India-UAE DTAA (Double Taxation Avoidance Agreement).…

International secondments offer employees global career growth, but they also introduce complex tax challenges. If you are temporarily working in another country, you may have several tax-related concerns, such as:  This guide breaks down the tax implications for seconded employees, explaining DTAA benefits and providing a real-life case study to help you navigate tax planning…

For Non-Resident Indians (NRIs) selling property in India, adhering to tax compliance under the Income Tax Act, 1961, is crucial to prevent excessive tax deductions and transaction delays. One major challenge NRIs face is the high rate of Tax Deducted at Source (TDS), which significantly reduces net sale proceeds.  Key Topics Covered:  By following these…

Many Non-Residents (NRs) returning to India are unsure about the tax implications of their residential status change. They often ask:  If you are an NRI planning to move back to India, this article will help you understand the tax impact of becoming a resident under the Income Tax Act, 1961.  What Are the Common Misconceptions…

When an individual move abroad for work or business, their residential status changes, leading to significant tax implications. Some of the key questions they ask include:  This article will clarify these key tax concerns for individuals transitioning from Resident to Non-Resident under the Income Tax Act, 1961.  What is Unclear About NRI Taxation?  Many people…