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How to Claim Foreign Tax Credit in Income tax return
NRI
CA. Kapil Mittal

How to Claim Foreign Tax Credit in Income tax return

As per Section 90 and 90A of Income Tax Act, A non-resident Indian can avoid taxability liability in India on income generated in India by furnishing a Form 10F and Tax Residency Certificate from another country. But what about if a Resident Indian pays Income Tax in another country and is liable to pay income tax on that income in India as well? 

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Form 10F and PAN of Non-residents in India
NRI
CA. Kapil Mittal

Form 10F and PAN of Non-residents in India

Double Taxation avoidance agreement is entered between two countries to avoid dual taxability of the same income in 2 countries. Section 90 of Income Tax Act, 1961, permits the central government to enter into agreement with any other country to avoid double taxation and maintain mutual economic relations, trade and investments. In accordance with Double Taxation Avoidance Agreement (DTAA), Income is taxed in only one country and the assessee is not required to pay tax in another country.

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A Guide to DPX 2 Form
Project Exports
CA. Kapil Mittal

A Guide to DPX 2 Form

Export of goods and services forms an important part of the economy of every country, whether developing or developed, as exports bring foreign currency to the country. Since, a country is providing its resources to another country, therefore, government makes all the efforts that corresponding foreign currency flows into the country at the earliest. For this purpose, various regulations are provided under Foreign Exchange Management Act (FEMA). As per FEMA, foreign currency with respect to export of goods and services should be brought into the country within 9 months from date of export.

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Introduction to Software Export Declaration (SOFTEX) Form
FEMA
CA. Kapil Mittal

Introduction to Software Export Declaration (SOFTEX) Form

Export of goods and services is the most regulated transaction as it takes domestic products into the international market and brings foreign currency in India. An exporter is required to furnish various forms and documents with different authorities to substantiate that goods have been actually exported and consideration for such export is received in convertible foreign exchange.

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Possession and Retention of Foreign Currency in India
FEMA
CA. Kapil Mittal

Possession and Retention of Foreign Currency in India

As per Section 4 (Holding of foreign exchange, etc.) of FEMA, no person resident in India is permitted to possess any foreign exchange, foreign security or any immovable property situated outside India.

Person is not allowed to possess foreign exchange whether in India or outside.

However, exemption from this general prohibition is given under Section-9, i.e, Exemption from realization and repatriation in certain cases.

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All About Money Transfer Service Scheme (MTSS)
Digital Payments
CA. Kapil Mittal

All About Money Transfer Service Scheme (MTSS)

In India, remittances are allowed to be sent to foreign countries. Such remittances are called outward remittances. Similarly, remittances are also allowed to be received by a company or entity set up in India. Remittances which are received in India are called as inward remittances. The Reserve Bank of India (RBI) is the main regulatory authority dealing with foreign exchange transactions within the country. 

Persons who are living outside India are required to send funds to India on a very frequent basis for their family maintenance. Therefore, Money Transfer Service Scheme (MTSS) is formed to make the process of inward remittance for individuals easy.

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Foreign Direct Investment (FDI) Policy in Pharmaceuticals Sector
Foreign Direct investment
CA. Kapil Mittal

Foreign Direct Investment (FDI) Policy in Pharmaceuticals Sector

Foreign Direct Investment (FDI) plays a crucial role in the growth and development of any country’s economy. In India, the pharmaceutical sector is one of the key contributors to the nation’s GDP and plays a significant role in providing affordable healthcare solutions to its citizens.

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