News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Direct Tax »
 Notification No. 49/2019 Central Board of Indirect Taxes and Customs
 Direct tax code aims to simplify archaic tax rules as we know it
 Have ITR related queries? This is how you can get them answered
 E-assessment Of I-T returns launched
 How to get your ITR related queries answered by income tax officers
 You can get credit for TDS deducted on cash withdrawals of over Rs 1 crore from bank account
 CBDT circular comes as relief for minor offences
 Indirect tax board removes circular on GST, but confusion remains
 Understanding the difference between TDS and TCS
 Lowering of personal income tax as proposed in the DTC
 Notification No. 73/2019 Central Board Of Direct Taxes

CBDT eases TDS claims rules for non-resident investors
June, 30th 2016

Non-resident companies will now be able to claim benefits of tax treaty, only by providing personal details like name, address and tax residency certificate; they would not have to provide their permanent account numbers (PAN).

The Central Board of Direct Taxes (CBDT) has brought Rule 37BC, relaxing non-residents from furnishing PAN number in India in order to claim TDS benefits. These 'non-resident' entities include foreign partnership, foreign body corporate and foreign companies.

Earlier, non-residents who didn't provide PAN details were subject to higher rate of withholding tax on payments that Indian companies made in form of interest, royalty, fees for technical services.

Now, non-residents will be able to claim the beneficial provisions of the tax treaty by providing some details like name, email-id, address, Tax Residency Certificate (TRC) and Tax Identification Number (TIN) or any similar Unique Identification number that they must have obtained from their country of residence.

As per Section 206AA of IT Act, in absence of PAN, the payer was liable to withhold taxes at the rate of 20% or the rate of tax as per the Act or that as per tax treaty (whichever is higher) while making payment to a non-resident. This made PAN mandatory for every non-resident, which was not an easy process. The new rule removes this need for PAN details.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2019 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System development CMS development Content Management Solutions CMS Solutions Content Management Services CMS Services CMS Software

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions