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Friday, March 14, 2008

Which form does an NRI need to file tax returns ?

Which form does an NRI need to file tax returns
I am working in the US and need to file my income tax returns in India. I qualify as an NRI but also have two months income in India for which my employer has issued a TDS certificate.
How and where do I file my return? Which form do I need to use for the return?

From the information provided by you it seems that you were employed in India for 2 months and have gone abroad for the purpose of employment. You can file your returns in any of the following forms:
Form 2A - This form can be used if your income is less than Rs 200,000, and if your income does not comprise income under the head Profits and Gains from business or profession and if you don't have any brought forward losses.
Form 3 - This form can be used if your income is more than Rs 200,000.
Saral - This is a general form that can be used by anyone.

You are required to file your return based on the ward or circle of Income Tax where you are covered. If you have filed IT returns in the earlier years then the IT ward or circle number would be mentioned on the stamp affixed on the acknowledgement of such a return. If such acknowledgement was not available then the IT return would need to be filed based either on the name of your employer in India.
Source: http://www.rediff.com/money/perfin/2000/sep/20nritax.htm

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