Hi @Shrutika_Shah,
I’ve received some shares from my employer, Amazon, as RSU. Shares got vested in February 2023 and the corresponding amount has been added to the perquisites section in my Form-16.
I haven’t sold any of the shares as yet, so the only tax liability that I have as of now is the tax on perquisites which will be taxed as per my slabs.
I’ve few questions pertaining to my current situation which are following
I’m holding shares of Amazon which is not listed in India. Do I need to declare this in Schedule FA or I can ignore for FY 2022-23 as I received shares in February 2023 which is after 31st December 2022?
I’ve an account with Morgan Stanley opened through my employer which basically lets me see all the RSUs which have been vested or are yet to be vested. This account was opened in August 2022. Do I need to declare this in A2 under Schedule FA as a Custodial Account?
If I don’t have to fill out information for Schedule FA, am I good to go with the ITR-1?
I don’t own any other financial asset outside India.
Hello team, thanks for the article. One question regarding Initial value in Table A3. Consider I bought 100 shares and later sold 20 in 2021, in ITR of AY 2022-23 I have declared initial value for 100 shares, declaring the gain/loss on sale of 20 shares. Now in 2022 there was no sale. What will be the initial value to be filled in AY 2023-24? Do I consider the initial value at which 100 shares was bought, or the value for 80 shares on date of purchase?
Thanks for the reply Shrutika. My account with Morgan Stanley is managed by my company. I’ve a few questions regarding the interpretation of this as a custodial account.
When I visit the Brokerage Account section in my account, it says that I don’t have any brokerage account information added. I don’t have a bank account in US either. What type of account is mine then?
When I visit my profile page, there are two sections and each of these mention an account number. There is a section named Information managed by your company and it has an account number starting with MS.
There is another section named Information specific to Morgan Stanley which has a 9 digit number written next to the title Morgan Stanley Brokerage Account Number.
As I mentioned earlier, I don’t have any brokerage account with Morgan Stanley. Which of the above two accounts I’ve to mention under custodial accounts in Schedule FA and what type of accounts are these?
I am a resident Indian and have a Singapore-incorporated private limited company where I am a 100% shareholder. The company holds a bank account in Singapore where I am the signatory. What all details do I need to furnish in the ITR and which all tables do I need to fill in?
holding in foreign assets to be reported as on 31.22.2022. If such capital asset is sold between Jan to Mar’23 period, in which FY that CG will be taxable. In which schedule CG income will be reported
You will have to fill Table A1 and A3 in Schedule FA while filing your ITR.
If applicable, provide details about any relief claimed under DTAA for income derived from foreign assets.
For any further assistance, you can also Ask an Expert.
If there are RSU’s vested on different dates but earlier than the financial year for which I am filing the assessment, do I need to specify them differently in the FA Schedule
If I received free crypto in the form of rewards on Coinbase UK. Im NRI but currently resident for tax purposes.
In Schedule FA, under what heading it should be reported?
Acquisition cost will be spot price on that date? Also if no sale is done, what is the income derived from the asset, is it zero or acquisition cost?
Do i have to mention this seperately in Schedule VDA, if no sale is done?
You need not require to disclose crypto under Schedule FA.
When the sale is done, take the purchase price as the FMV on the date of acquisition.
If no sale is done, there is no income and hence it is 0.
You need to report in the schedule VDA when you have sold them.
Hi, How do we report income from the sale of Phantom Shares or the NQSOs. Say for example, My company gave me 100 NQSOs which vested at 30 USD 5 years back and I exercised the sale in Dec '22 at 50 USD . In this transaction I didn’t buy any shares but only earned the difference between the vested price and sale price i.e 20*100 = 2000 USD. The company withheld 35% and the rest amount which is 65%*2000 was transfered to my account and I then remitted to India. The company reported 2000 USD as perequiste income in my form 16 and also adjusted the 35% equivalent amount. Where and how do I report this in FA and FSI? And also would this gain be treated as LTCG or would be taxed at slab rate. Company deducted at Slab rate
In the example mentioned above, you just have to disclose your Foreign stock holdings in the ITR under Schedule FA as on 31/12/22. When you sell these shares then you have to report capital gain and Schedule FSI.
For now income is added as perquisite under salary so no further capital gains to be added if you have not sold them yet.
@Bharti_Vasvani , thanks for your answer but as I mentioned these are Phantom Stocks/ NQSOs wherein I dont get physical stocks , I just earn the difference between the vesting price and selling price. So these wouldnt appear as hoildings? So do i need to also indicate this in Stock holding ?
Hi, 10 RSUs from my company were vested b/w Mar 2022-Dec 2022, out of these 3 were used to pay tax and 7 were added to broker account (Morgan Stanley).
Now when i am filling Form A3 in Schedule FA, what would be the value of following in my case :