Maddan R Saawant (AM) (33 Points)
08 April 2024Hi Everyone
If an Individual remits 1 Cr as inward remittance to India then does he need to show in ITR as income?
Does he need to submit FIRC to the Income Tax Department?
Is it possible to submit FIRC in ITR2? if yes then which schedule to be selected?
Thanks
Maddan
Lekshmi
(Chartered Accountant)
(1285 Points)
Replied 08 April 2024
Is that inward remittance against any export of services made?
I don't understand what you meant by submit FIRC in ITR. Assuming that the remittance is in the nature of income, it needs to be disclosed. However, rather than assuming things, my suggestion would be to take into account all the FEMA and taxation aspects cleared.
Nikhil Kaushik
(Fellow CA)
(85743 Points)
Replied 08 April 2024
it depends on what was the purpose code for the remittance. if it is for exports, then you need to file ITR3 or ITR4 subject to other rules.
Maddan R Saawant
(AM)
(33 Points)
Replied 08 April 2024
Hi,
This is just salary inward remittance. No export of services. Earlier I have made inward remittance of 10 lakh to the nre account. But this time after resigning from work and moving to India I made huge sum of inward remittance. In such case do I need to show in ITR form from where the this fund come. Just to avoid the notice from iT department.
Nikhil Kaushik
(Fellow CA)
(85743 Points)
Replied 09 April 2024
it all depends on the remittance code you have used. In case it is personal remittance that is from your own account outside India to an account in India, then there is not taxability issue plus there is no need to disclose it anywhere.
if your taxable income in India during the year exceeds Rs 50 lakhs, then you need to disclose all your assets.
Once you become a resident tax payer, you will have to disclose any and all asset outside India.
C.A. Sandeep Wawhal
(CA, PGDFM, BCom)
(1831 Points)
Replied 12 April 2024
If you are non-resident as per income tax act during previous year and income to which inward remittance belongs does not accrue or arises in India during the previous year then inward remittance not taxable in your case.
However, if you are resident during the previous year then inward remittance is taxable. In such case double taxation benefit will be available, if any.
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