10 May 2021
Any documents required to be submitted for claiming withholding tax deducted by e-Commerce site in the US. We just get a computation of royalty on ebook sales in an excel file.
07 July 2024
To claim withholding tax deducted by an e-Commerce site in the US, such as on royalty payments for ebook sales, you typically need to provide documentation that supports your claim. Here are the steps and documents generally required:
1. **Form 15CB**: This is a certificate issued by a Chartered Accountant (CA) certifying details of the payment, withholding tax rate, and compliance with Indian tax laws. This form is required for any payment made to a non-resident that is subject to TDS (Tax Deducted at Source).
2. **Form 15CA**: This form is submitted online and is an undertaking by the remitter (the Indian company or person making the payment) that tax has been deducted at source. It needs to be filled out and submitted on the Income Tax Department's website before the remittance is made.
3. **Income Tax Return**: Include details of the income earned and taxes paid in your Income Tax Return in India. This helps reconcile the taxes paid abroad with your Indian tax obligations.
4. **Proof of Payment and Withholding**: You should have documentation from the e-Commerce site showing the amount paid to you, the royalty rate applied, and the amount of withholding tax deducted. This could be in the form of transaction records, invoices, or statements provided by the e-Commerce platform.
**Form 16A or Equivalent**: This document shows the tax deducted at source and is issued by the e-Commerce platform. It outlines the amount paid to you, the amount of tax deducted, and other relevant details.
**Certificate of Residency**: To claim benefits under the Double Taxation Avoidance Agreement (DTAA) between India and the US, you may need to provide a Tax Residency Certificate (TRC) issued by the Indian tax authorities. This certifies that you are a resident taxpayer in India.
**Bank Statements**: Provide bank statements showing the receipt of funds and the corresponding withholding tax deductions.
**Correspondence and Agreements**: Any correspondence or agreements with the e-Commerce platform related to the royalty payments can also be useful to substantiate your claim.
Ensure all documents are properly filled out, signed where required, and submitted along with your Income Tax Return to claim credit for the taxes withheld abroad. It's advisable to consult with a tax advisor or CA familiar with international tax matters to ensure compliance and accuracy in your filings.
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