I am nri, investment in indian stock market, some long term profit and short term profit, TDS IS deductid, should I file tax returm, maximum profit in a year 50000
Depending on your situation you could get a refund since upto 1 lakh of LTCG is tax free for NRIs.
I too am NRI and have filed my tax return myself for many years. It doesn’t take long if all you have is interest, dividends and share sales. Depending on your income you may could get all of your interest and dividend TDS back too!
Hey @Jince_Varghese,
Yes, it is always recommended to file your ITR. As rightly mentioned by @Russell, you could be eligible for a refund as well.
Hope this helps!
@Surbhi_Pal,
Madam, I had a query as under:
I am an NRI and filing ITR for the last many Years.
I have couple of Years back started investment in indian stocks through NRE PIS Account and Zerodha Broker.
In my ITR being filed as an NRE, where should I be showing my Dividend Income from Indian Stocks credited into my NRE Account held in India?
Last Year while filing ITR, all my Dividend Income from Shares purchased through NRE PIS Account was shown in SCHEDULE OS INCOME FROM OTHER SOURCES under 1.aii - Dividend Income u/s 2(22)(e).
However some links on Net were mentioning that for NRI’s the Dividend Income should be disclosed under the column “Income Chargeable at Special Rates”.
Where should one be showing Dividend Income for an NRE while filing his ITR in India?
Please also note that all Dividends after 20% TDS are being credited into NRE Account linked for PIS Investment.
Hello @JAGANNATH
Yes, you are correct. There are multiple views on taxation of dividend income for NRIs. In my opinion, dividend income earned by NRI will be taxed at 20%.
However, any notices have not been observed in case of NRIs who have reported dividend income and paid tax at slab rate.
Hope this helps.
@AkashJhaveri
Thanks Sir for getting back on this.
From your reply I understand that for NRE’s, Dividend Income whether it is shown in SCHEDULE OS INCOME FROM OTHER SOURCES unde 1.aii - Dividend Income u/s 2(22)(e) of ITR2 Form or Column “Income Chargeable at Special Rates” does not make any difference.
Since for NRE’s Dividend attracts a TDS of 20℅, I was wondering whether NRE’s need to show Dividend Income under Column “Income Chargeable at Special Rates”.
Many thanks once again for your reply.
@JAGANNATH Income from dividend has to be disclosed under column “Income chargeable at special rates” and not under IFOS.
In case you do not have any other income and you report it under IFOS, tax rate will change and not taxed at 20%.
Thank you.
@Surbhi_Pal
Thanks Madam for all your efforts in co-ordinating with your Team so as to get a correct reply to the Query raised.