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Form 10 F & TRC ?

Jeetu Manglani (177 Points)

05 June 2020

sir
whats form 10 F and TRC ???

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4 Replies

Kiran Hathalia (837 Points)
Replied 05 June 2020

Form 10F is a self declaration by the assessee that he resided in a foreign country which is covered under DTAA with India and hence, tax rate applicable to the income is at the rate mentioned in the DTAA. Further, tax residency certificate is a proof that assessee is resident of that particular country and relief of double taxation shall be granted only and only if the assessee provides TRC from the government of the country in which he is resident.

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hassan waghu (Employment) (65 Points)
Replied 05 June 2020

Tax Residence Certificate (TRC) is a proof that person is a resident of that country. It is issued by the Govt. for. e.g. in India it is issued by Income Tax Department.
It is mandatory for claiming relief to avoid double taxation.
As per section 90(4), of Income Tax Act a non resident will be entitled to claimed benefits of Double Taxation Avoidance Agreement (DTAA) Treaties unless he obtained TRC from the Govt of his residence country.
TRC should include following details to claimed benefit as per Indian Tax law:
1) Status (Individual, company etc) of the assessee
2) Nationality
3) Assesee tax identification number (TIN) in the country of residence (unique no. in absence of TIN )
4) Period for which residence status is applicable
5) Address of assessee in the country

if TRC doesn't contained any one of the above details, then Form 10 applicability arise.

Form 10F is a self declaration by the assessee containing above details.

Hope above clarifies.

In case of any query you can revert.

Thanks..

Jeetu Manglani (177 Points)
Replied 06 June 2020

Sir we are buying ebook from UK and we are deducting tds against this invoice payment but he say than u can,t deducted tds due to we are providing u form 10 and TRC so whats we should do

Gena Sanford (Digital Marketing Manager) (34 Points)
Replied 08 February 2021

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