what is the procedure to get lower tax deduction certificate for a NRI

Personal Information

Provide your full name

Provide your contact details (address, phone number, email)

Provide your current residential address, including the complete address, city, state, and zip code.
Enter your phone number, including the country code.
Provide your email address.

Mention your Nationality

Specify your status as an NRI (Non-Resident Indian)

Provide your passport details (passport number, date of issue, and expiry date)

Enter your passport number, including all alphanumeric characters.
Specify the date of issue of your passport in the format DD/MM/YYYY.
Provide the expiry date of your passport in the format DD/MM/YYYY.

State your date of birth

Provide your Permanent Account Number (PAN) if applicable

Mention your Overseas Citizen of India (OCI) or Person of Indian Origin (PIO) status if applicable

Specify your residential status (whether you are an individual, HUF, company, or other entity)

State your tax identification number in the country of residence (if applicable)

Mention your tax identification number in India (if applicable)

Provide your bank account details (account number and name of the bank)

Enter your bank account number as it appears on your bank statement or passbook.
Provide the name of the bank where your account is held.

Specify your marital status

Mention the number of dependents you have

Provide any additional personal information required by the tax authorities

Tax Identification

Provide your Permanent Account Number (PAN)

Mention your Tax Identification Number (TIN) in the foreign country (if applicable)

Some additional steps within the Tax Identification section could be

Provide proof of residency in the foreign country (e.g., copy of residency permit, utility bill, or lease agreement)

Submit a tax residency certificate from the foreign country's tax authorities

Obtain a tax residency certificate from the foreign country's tax authorities.
Upload the tax residency certificate as proof of your tax residency in the foreign country.

Provide details of any other tax identification numbers held in other countries, if applicable

Include any supporting documentation or certificates related to tax identification, if required

If there are any changes in tax identification information, provide the necessary updated documents or information

Ensure that all provided tax identification information is accurate and up to date

Tax Residency

Provide your tax residency certificate from the foreign country

Specify the duration of your stay abroad

Mention the purpose of your stay abroad (employment, education, etc.)

Provide proof of your residency status in the foreign country (e.g. visa, work permit, residence permit)

Submit any relevant documents supporting your claim of tax residency (e.g. rental agreements, utility bills)

Provide details of any tax returns filed in the foreign country

Declare any income earned in the foreign country during the specified duration of your stay abroad

Provide supporting documentation for any income earned in the foreign country (e.g. employment contracts, salary slips)

Declare any tax benefits or exemptions availed under the tax laws of the foreign country

Provide information on any tax obligations or liabilities in the foreign country

Specify any changes in your tax residency status during the specified duration of your stay abroad

Income Details

Provide a detailed breakdown of your income sources (salary, business, rental income, etc.)

Attach relevant supporting documents like salary slips, bank statements, etc.

Calculate the total income from each income source separately

Include any deductions or exemptions applicable to each income source

Sum up the total income from all sources after deductions

Provide the total taxable income after deductions

Specify any foreign income and the tax paid on it in the respective country

Provide details of any tax credits or refunds claimed in the foreign country

Attach relevant supporting documents for each income source and deductions/exemptions claimed

Ensure the accuracy and completeness of the information provided

Tax Deduction at Source (TDS)

Provide details of tax deducted at source (TDS) by your employer or any other entities in India

Include the amount of TDS deducted by each entity
Specify the date when the TDS was deducted
Provide the name of the entity that deducted the TDS
Include the address of the entity that deducted the TDS

Attach TDS certificates issued by deductors

Collect the TDS certificates issued by all deductors
Ensure that the TDS certificates are in a valid format
Make sure that the TDS certificates are authentic and not forged

Calculate the total tax deducted at source by all deductors in India

Add up the amounts of TDS deducted by each deductor
Summarize the total TDS amount deducted by all deductors

Ensure that the TDS certificates provided by deductors are valid and authentic

Verify the authenticity of the TDS certificates
Check if the TDS certificates have been issued by legitimate deductors
Ensure that the TDS certificates are not counterfeit or altered

Compile all the TDS certificates and organize them in a chronological order

Gather all the TDS certificates in one place
Arrange the TDS certificates in the order of their issuance dates

Cross-check the details mentioned in the TDS certificates with your own records

Compare the TDS certificate details with your own records
Ensure that the TDS deducted matches the records you have maintained

Summarize the TDS details in a separate sheet or document

Create a separate sheet or document to summarize the TDS details
Include the relevant information from each TDS certificate

Include the following information for each TDS certificate: deductor's name and address, PAN of the deductor, TAN of the deductor, TDS certificate number, date of issue, and amount of TDS deducted

Specify the name and address of the deductor mentioned on the TDS certificate
Include the PAN (Permanent Account Number) of the deductor
Provide the TAN (Tax Deduction and Collection Account Number) of the deductor
Include the unique TDS certificate number
Specify the date when the TDS certificate was issued
Include the amount of TDS deducted as mentioned on the certificate

Verify if any TDS deductions fall under the provisions of the Double Tax Avoidance Agreement (DTAA) between India and your country of residence

Check if the TDS deductions are covered under the DTAA
Refer to the provisions of the DTAA between India and your country of residence
Determine if any specific rules or exemptions apply to the TDS deductions

Calculate the total TDS amount that can be claimed as a tax credit or refund

Sum up the TDS amounts that can be claimed as a tax credit or refund
Consider any applicable tax treaties or agreements that may affect the total amount

Ensure that all necessary supporting documents, such as TDS certificates, are attached to the application

Check if all required supporting documents are included
Ensure that all TDS certificates and other relevant documents are attached

Review the completed TDS section for accuracy and completeness before submission

Thoroughly review the TDS section to check for any errors or omissions
Ensure that all required information has been provided accurately
Make sure that the TDS section is complete and nothing is missing

Double Tax Avoidance Agreement (DTAA)

Specify the country with which India has a DTAA in effect (if applicable)

Provide the Tax Residency Certificate (TRC) issued by the foreign tax authorities as per DTAA guidelines

Determine the applicable article of the DTAA that allows for lower tax deduction

Provide the relevant supporting documents as per the DTAA guidelines

Submit the completed DTAA application form to the tax authorities

Await confirmation and approval of the DTAA application

Update the tax deduction certificate with the approved lower tax deduction rate

Declaration

Declare that the information provided is true and accurate

Mention that you will be responsible for any legal consequences arising from incorrect information

Declare that you are a non-resident Indian (NRI) for tax purposes

Confirm that you have provided all the required documents and information for the tax deduction certificate

State that you understand the implications and benefits of obtaining a lower tax deduction certificate

Agree to comply with all the applicable tax laws and regulations

Acknowledge that the tax deduction certificate is subject to approval by the tax authorities

Provide any additional information or documents that may be requested by the tax authorities during the processing of the certificate

Agree to inform the tax authorities promptly of any changes in your tax residency status or income details

Confirm that you have understood and agreed to the terms and conditions mentioned in the application form for the lower tax deduction certificate

Signature and Date

Sign the certificate

Mention the date of submission

Note: Please consult with a tax professional or the relevant tax authorities for accurate and up-to-date information regarding the procedure to obtain a lower tax deduction certificate for an NRI, as the requirements may vary based on individual circumstances and the tax laws of your country.