Fire your tax related queries and i would get it solved!!!

[diosys]

but someone said me if you earn foreign currency then there is a exemption according to FEMA.
is it so??
Thanks for your replies.

FEMA cannot determine the taxes which are to be paid on one's income....FEMA is a act which regulates the flow of foriegn currency into and outside India.

 

[subi2000]

I am NRI recently started trading and investing in Indian stock market. I have a trading a/c with HDFC securities. Last week I sold my gold ETF held for 3 months for a profit of Rs8,000. The account was debited with TDS at more than 30+% tax rate. I have other interest income (less than 50,000) from some fixed deposits. How come they deduct such a high tax rate?
Thanks in advance.

 

[lazytrader]

I am NRI recently started trading and investing in Indian stock market. I have a trading a/c with HDFC securities. Last week I sold my gold ETF held for 3 months for a profit of Rs8,000. The account was debited with TDS at more than 30+% tax rate. I have other interest income (less than 50,000) from some fixed deposits. How come they deduct such a high tax rate?
Thanks in advance.

I have never heard about TDS being deducted from trading account before this

 

[diosys]

I am NRI recently started trading and investing in Indian stock market. I have a trading a/c with HDFC securities. Last week I sold my gold ETF held for 3 months for a profit of Rs8,000. The account was debited with TDS at more than 30+% tax rate. I have other interest income (less than 50,000) from some fixed deposits. How come they deduct such a high tax rate?
Thanks in advance.

According to Sec 195 any amount (which is chargeable to tax in India) if repatriated ourside India then a TDS of the applicable rates needs to be deducted from such transfers....Hence the bank has deducted.

 

[diosys]

I have never heard about TDS being deducted from trading account before this

Now you would have heard it....

 

[shajay12]

For me...i have invested in

Magnum Tax Gain (have seen it given consistent returns, though a bit dwindling now)
Canara Robecco Tax Saver (Good fund)
HDFC Tax Saver (Good safe fund)

Before investing one must understand the investment pattern of the funds...That is how and in which type of companies do they put their money in....Tax funds which put in mid cap companies because of the lock in period are prone to larger loss but quicker and more gains...Hence before picking any ELSS study the investment pattern....The best site for the same i like is value research online...Excellent website.

Hi Diosys,

I am very sorry for the late reply. I read this post but today i am replying. Thanks a lot for guiding me. Now i would review all the tax saving schemes you have mentioned. Thanks a lot.


Regards,
Ajay

 

[lazytrader]

According to Sec 195 any amount (which is chargeable to tax in India) if repatriated ourside India then a TDS of the applicable rates needs to be deducted from such transfers....Hence the bank has deducted.

But how would the bank know if it is profit or loss? and how much to be deducted unless they know what trades are made?

 

[subi2000]

It is an integrated HDFC trading account. Better I should change the trading account from repatriate to non-repatriate basis as I don't need this money out side the country.

 

[diosys]

But how would the bank know if it is profit or loss? and how much to be deducted unless they know what trades are made?

Unfortunately, the bank cannot do anything in it....

LAW IS WHAT LAW DOES !!!

good or bad....like it or hate it....LAW would remain law...

 

[diosys]

It is an integrated HDFC trading account. Better I should change the trading account from repatriate to non-repatriate basis as I don't need this money out side the country.

confrim with the bank first whether this would benefit you or not....