Search Results For: 6(1)(c)

Can Benefit Of Indo-USA Be Claimed By A Person Who Was Seconded To Parent Company?

QUERY: Ajay was seconded to US for 11 months by his company to work in its parent company while being on Indian company payroll. As per US do-mestic tax laws, Ajay was advised to offer his US sourced income which is nothing but his 11 months salary received in India while being in US. However since the salary was being paid in India, the TDS u/s. 192 was accordingly deducted while remitting the salary to Ajay in his Indian bank account. Now Ajay (since qualifying as a Non-resident) wants to know instead of claiming the exclusion as per Article 16(1) as prescribed in Indo-US DTAA in his return of income, can the same be claimed in his Form 16 itself?
ANSWER: Click here to read the full answer of the expert

As Ajay was seconded to USA for 11 months by his company to work in its parent company, while being on India company’s payroll, he does not become a non-resident as per section 6(1)(c) of the Income-tax Act, 1961.

Posted in Income-tax