NRI Taxation | Non Resident Indian Income Tax Return | Tax Planning for NRI | Save tax on property sale by NRI
With a significant increase in cross border transactions and more and more people moving in and out of India, the importance of NRI and Expat taxation is growing significantly. We at PGA provide dedicated support to our NRI and Expat clients looking to manage their compliance in India. We provide a one-stop solution for all their specific needs and relieve them of the burden of Indian tax compliances.
Capital Gains on sale of Property By NRI In India
A non-resident when sell a property in India is liable to tax deducted at Source (TDS) on the total transaction value @20% plus surcharge plus cess. The tax is deducted on total transaction value and not the capital gains, which is slightly harsh as a significant portion of sale proceeds is deducted upfront. To remove this hardship, the income tax department provides a method of obtaining lower TDS certificate (Form 13) from the Income tax department by getting their capital gains pre-assessed. Once the department issues the lower TDS certificate, the buyer then deducts the TDS on the capital gains and not the total transaction value. Through this, the Non-resident can get the maximum funds and also is assured of taxes being paid only on the capital gains. Our experienced team at PGA provide the full support to the non-residents for obtaining the lower deduction certificate.
Some of the services offered to the non-residents are as given below:
- Obtaining PAN and TAN number
- Assistance and preparation of Individual Income tax returns (ITRs)
- Assistance in seeking a refund of Income taxes
- Obtaining advances rulings on any specific matters before entering a complex transaction
- Obtaining lower tax deduction certificate (TDS) Form 13 in case of capital gain on sale of property by NRI in India
- Disclosure of foreign assets and FATCA declaration
- Assisting in Assessment and appeals whether regular or E-assessment
- Advising on the tax treatment of any specific transaction as per Double Taxation Avoidance Agreements (DTAA)