Declaration of no PE in India and Form No. 10F

Mitali , Last updated: 12 September 2023  
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No PE Declaration is a certificate provided by a non-resident who earns income from India, such as interest, fees for technical services, or business income. This certificate allows the Indian payer to withhold taxes at a reduced rate specific to that type of income, provided that there is no permanent establishment or physical presence of the non-resident in India. This helps facilitate smoother and more tax-efficient cross-border transactions.

Format of No Permanent Establishment Declaration

Subject: Declaration of No Permanent Establishment (PE) in India

Declaration of no PE in India and Form No. 10F

Dear Sir/Madam,

I, [Your Name], [Your Title] of [Non-Resident Company Name], declare that:

[Non-Resident Company Name] is a non-resident entity incorporated/registered in [Country of Incorporation/Registration].

[Non-Resident Company Name] derives income from India as [Specify the type of income, e.g., Interest, Fees for Technical Services, Business Income, etc.].

[Non-Resident Company Name] does not have a permanent establishment in India as per the Income Tax Act.

I/We undertake to [Non-Resident Company Name] in case of any alteration in the aforesaid declaration including change in tax status, etc.

I/We hereby certify that the declarations made above are correct, complete, and truly stated.

Sincerely,

[Your Name]
[Your Title]
[Non-Resident Company Name]

About Form 10F

Form 10F is an essential document used by non-resident taxpayers to claim tax benefits under an applicable Tax Treaty with India. Availability of Form 10F is a must to claim  Tax Treaty  benefit, that is designed to prevent double taxation of the same income by the two countries.

Format of Form 10F

FORM NO. 10F

[See sub-rule (1) of rule 21AB]

Information to be provided under sub-section (5) of section 90 or sub-section (5) of section 90A of the Income-tax Act, 1961

I____________*son/daughter of Shri ____________ in the capacity of ____________ (designation) do provide the following information, relevant to the previous year____________ *in my case/in the case of for the purposes of sub-section (5) of *section 90/section 90A:—

Sl.No Nature of information : Details #
(i) Status (individual, company, firm etc.) of the assessee :  
(ii) Permanent Account Number or Aadhaar Number of the assessee if allotted :  
(iii) Nationality (in the case of an individual) or Country or specified territory of incorporation or registration (in the case of others) :  
(iv) Assessee’s tax identification number in the country or specified territory of residence and if there is no such number, then, a unique number on the basis of which the person is identified by the Government of the country or the specified territory of which the assessee claims to be a resident :  
(v) Period for which the residential status as mentioned in the certificate referred to in sub-section (4) of section 90 or sub-section (4) of section 90A is applicable :  
(vi) Address of the assessee in the country or territory outside India during the period for which the certificate, mentioned in (v) above, is applicable :  
 

2. I have obtained a certificate referred to in sub-section (4) of section 90 or sub-section (4) ofsection90A from the Government of ____________ (name of country or specified territory outside India)

Signature: ____________
Name: ____________
Address: ____________
Permanent Account Number or Aadhaar Number ____________

Verification

I ____________________________ do hereby declare that to the best of my knowledge and belief what is stated above is correct, complete and is truly stated. Verified today the ______________________________ day of __________________________________________________

 

_____________________

Signature of the person providing the information

Place: ____________

Notes :

1. *Delete whichever is not

2. #WriteA. if the relevant information forms part of the certificate referred to in sub-section (4) of section 90 or sub-section (4) of section 90A.

To know more about form 10F Click Here

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Published by

Mitali
(Finance Professional)
Category Income Tax   Report

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