Corporate Employees moving outside India as NRI can claim benefit of DTAA to claim Tax Refund
Corporate Employees from India - NRIs can avoid paying double tax under the Double Tax Avoidance Agreement. NRIs can avoid paying double tax as per the Double Tax Avoidance Agreement (DTAA). Usually, Non-Resident Indians (NRI) live abroad, but earn income in India. In such cases, it is possible that the income earned in India would attract tax in India as well as in the country of the NRI’s residence. This means that they would have to pay tax twice on the same income. As a measure to avoid this, the Double Tax Avoidance Agreement (DTAA) was amended. For e.g. Generally employees working in MNCs in India moves abroad on long term deputation and are on dual payment model of remuneration and are subject to TDS from their India Finance and abroad Finance. DTAA comes into effect if such country where they reside has taken tax and their tax has been deducted from India Understanding DTAA The Double Tax Avoidance Agreement is a treaty signed by two countries. The agreement is signed to ...