🏠 Taxation on Rental Income from Foreign Property — What Indian Residents Must Know by Return Filings Via Flickr:
Earning rent from overseas property? Here’s what you need to stay tax-compliant under Indian law 👇
🔹 1. Report Rental Income in India As a Resident and Ordinarily Resident (ROR), you must declare foreign rental income in your ITR. It’s taxed as per your income slab under “Income from House Property.”
🔹 2. Avoid Double Tax with DTAA If you've paid tax in the country where the property is located, claim relief under the Double Taxation Avoidance Agreement (DTAA) by submitting Form 67.
🔹 3. Currency Conversion Matters Foreign income must be converted to INR using RBI’s exchange rate as of March 31 of the previous financial year.
🔹 4. Claim Deductions Smartly Expenses like maintenance, property tax, and interest on home loans (if any) can help reduce your taxable rental income.
🔹 5. Be Transparent in ITR Filing Ensure foreign property details and income are properly reported in ITR-2 or ITR-3, under Schedule FA if required.
🔗 Original post on Flickr: View Image on Flickr—
📌 Stay compliant. Stay informed.
