My son is a Non-Resident Indian (NRI) for about four years, and used to file his Income Tax Return (ITR) in India. However, at present he has almost no income in India except the negligible interest income that he earns in his Non-Resident Ordinary (NRO) savings account, for which tax has been deducted at source. Does he need to file his tax return in India, given that his income is less than 1,000?
Name withheld on request
If your son’s total income is less than the taxable limit 2.5 lakhs, there is no need to file ITR in India.
However, if you wish to claim a refund of Tax Deducted at Source (TDS), the only way to claim the refund is by filing a tax return.
You can also opt to declare to the concerned bank that your son’s total income is below the taxable limit and obtain a No TDS certificate from the Income Tax Department. A copy of this certificate can be submitted to the bank so that no TDS is affected and you do not have to go through the hassle of filing your return and claiming the refund.
Archit Gupta is the Founder and CEO of Clear.in
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