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Salary case

vijaykumar (Student) (49 Points)

04 December 2007

I have a doubt in salary case please clarify me

My friend has working as a crew member and he got a salary of Rs.3,52,300 and they deducted the TDS for the above salary amount. But he has given a certificate regarding the 2,62,400 has received in a foreign currency. Now my friend is telling that he can refund the TDS being i am a non resident in 2007 - 08 Asst. year and the certificate is clearly mentioned that 2,62,400 is received in foreign curreny.

Please clarify that

Wheater he can claim refund and in which section

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4 Replies

manoj (Articled Student) (66 Points)
Replied 04 December 2007

According to Sec 6 of the Incometax Act, 1961 if an indian citizen who leaves india as a memeber of the crew, he has to satisfy some conditions as laid down in the section. Here you did not mention about ur friend's stay in india to dettermine his Residential Status in India. However Sec 9 of the Act clearly states that the Income deemed to accrue or arise in India is taxable in India. To be precise, as per the given facts deduction of TDS is correct and you can claim refund of TDS provided you have Savings which are eligible for Sec 80c.

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Nirmal (articles) (92 Points)
Replied 05 December 2007

no he cant claim refund as per the section 6 it says that if a member leaves india as crew member then he is resident in india

Jagrut Shah (Chartered Accountant) (80 Points)
Replied 05 December 2007

Dear Vijay, Here u r not clarifying many things. Still i give u answer. If TDS is deducted from income than there is no provision that u can not apply for refund. person can apply for a refund on the basis of proof of savings and other relavant details under Chepter-VI i.e under sec. 80C to 80U. And he will get the refund easily. But before asking to authority for refund I suggest u that u get clear idea about his residential status and other realvant details.