Paid tax abroad? Remember to submit Form 67 and proof at earliest

If you don't do so, both processing of your tax return and refund could get delayed

The Central Board of Direct Taxes (CBDT) has recently amended the rules that govern Foreign Tax Credit (FTC). These changes will provide relief to taxpayers who pay tax in foreign jurisdictions and wish to claim credit for it. 

What’s FTC

Often, foreign income received by an Indian resident in a foreign country is taxed there. To avoid double taxation, Indian law allows credit for tax paid in a foreign jurisdiction. The tax paid abroad can be adjusted against the tax liability in India on the same income. Such credit is known as FTC and is of two types. 

Ankit Jain, partner, Ved Jain