For Tax filing services, You can reach out to us at agrawalnamrtaandassociates@gmail.com Related Video Link: How to file form 67 to claim foreign tax credit: th-cam.com/video/nd7pohSwoD8/w-d-xo.html ESPP Explained | How to declare ESPP in Schedule FA | Capital Gain Tax on ESPP in India th-cam.com/video/i52T18EL-zo/w-d-xo.html Restricted Stock Units (RSUs) Explained | Taxation rules in India I Declare RSUs in Schedule FA | Capital Gain on RSUs th-cam.com/video/f0e4-j-T-JM/w-d-xo.html Deviation in Video: There is one deviation under schedule SI: In the last column of row 38, please fill lower of both countries tax amount for dividend income. As per our example, we need to write INR 1215. Link of Telegraphic Transfer Buying (TT Buying) rate for the conversion of foreign currency to INR: forexrateindia.com/sbi-bank-forex-rates-30-12-2022/
Hi Maam, Thank you for the detailed explanation :) I have one question, Under Tax Payable under Special Income should we mention the Tax at our Slab Rate for that dividend Income or Tax at Average Rate. In case of your example, 30 % of 8100 = 2430 is the taxable income. But u have mentioned it to be paid as 15 %(Average Tax Rate) of 8100 =1215. Could you please confirm whether it is 1215 or 2430. Thank you!
@Nama_CA 1) do we need declare RSU/ESPP under Foreign Assets? 2) I havent sold any RSU/ESPP but my company sold part of my shares for taxation purposes? BR/Ravi
Thanks Madam for your informative training video for form 67 and itr 2 with foreign assets. Following you I have just filed a return for this assessment year ie. 24-25.
Thanks @Nama_CA, The video is really informative. If part of RSU shares are "sold to cover taxes" at the time of vesting, then a) Should it be mentioned in capital gain as there is brokerage loss and there may be slight difference in fair market price for day vs proceeds value shown at broker account, also as well brokerage loss is involved? b) In FA, should it mentioned or it should be only for shares which we hold? For this case should FSI or any other section as well to be filled? Thanks for your guidance.
Very informative & helpful for salaried and having investments in Stock market...Kudos Mam...U have saved hundreds of people.... Btw which tool is used to mask the sensitive information mam? please advise....
Thanks a lot for making this video. much needed. I have a doubt, I have a company RSU account. do I have to show the dividend received for RSUs? and I have one more doubt, I purchased some US stocks on 30-dec-2022 but the allotment date is 04th jan 2023, should I show this in Schedule FA?
Madam, Make videos on ITR-1 salaried employee and ITR -4 for freelancer or small business owners..And project report for small Business loan (mudra loan 5 or 10 lakh)
@Nama_CA Wonderful explanation madam! thank you so much. Your video is a life saver. I have query about Schedule FA Table A3 1. If I was allotted RSU after the date of peak value in 2022 then which day price should I use for those stocks to calculate peak value of investment during the period ?In your example peak value is on 4 Jan 22 and shares are acquired on 4 Jan 22. If they are allocated after 4 Jan 22 say on 5 April 22, what should be the peak value of investment ? 2. For RSU allocated by MNC what should be the Initial value of investment. Is it same as purchasing shares or should it be zero ?
Hello Ms. Namrata. First of all, thank you so much. Since last few days, I have been seeing several videos that talk about declaring foreign assets in ITR-2. After seeing all three of your videos, without any doubt I can say that the way you have presented is one of the best. Thank you again for taking time out to create it - I am also subscribing to your channel. 🙂 I have one query and hope you would clarify. While filling the schedule FA, you have taken an example of Microsoft. In this case, the shares are listed in USA while the headquarters of the company is also in USA. However, my question is how will the information change if lets say shares of a company are listed in USA (e.g., NYSE) but, the headquarters are in some other country (e.g., Ireland)? In this situation what should be filled in the field - Country/Region Name and Code? Should it be USA (because stocks are listed there) or Ireland (because company is headquartered there)? This also becomes important because it might also impact calculations of tax in dividends since USA might have a different tax rates than the Irish tax rate. Even Government of India might or might not have DTAA with the other country. I look forward to hearing from you. Thank you!
Hi Shubham, thank a lot for your compliments. In the given case, company listed in USA and tax also deducted in USA so in country name in ITR will be USA
@@Nama_CA: Thank you for the reply. However, while the shares are listed in USA, the country in which tax has been deducted is Ireland as the company is registered there. In view of this, please suggest.
In your case, your assets belong to Ireland. So In calculation, you need to use the US conversion rate as the share rate will be in USD as listed in USA but article number and tax rate need to take according to Ireland.
@Nama_CA In your video when you go to TI (Part B - TI) in the end and see row number 12 to 17 you will see income from dividend is reduced from total taxable income (row 13). But it should not be subtracted and rebate of DTAA tax is again claimed separately and is visible in Part B - TTI. Here it is like, it has reduced dividend amount and also returned 25% tax. So this should be corrected. Can you check if I am correct?
Hello ma'am I have Microsoft stocks since 2020 but I didn't purchase any stocks in current year i.e. 01/01/2023 to 31/12/2023 still do I have to fill FA schedule?
In the forex rate link, for any particular date, there are two tables for exchange rates. Which one is to be used for converting dollar income to INR? Please explain. Thanks.
Thanks for sharing such valuable information. I received dividends in 2022 as well as in January 2023. Should I add January 2023 dividend to the total dividend income in this year ITR? As US calendar year is from Jan to Dec, 2022. Please help.
Nice Video. I was looking for Schedule FA & your video helped me alot. I've a question: the same methodology works for both RSU & ESPP? Could you please clarify. Thanks in advance
Hi Madam, If i have a foreign US stock that i have bought in different quantities multiple times and sold multiple times in a year, how to enter multiple transactions of the same stock? Do we need to calculate average value ?
You will have to do separate entries for each transaction as per buying date and purchase value. In Schedule FA, the assessee has to disclose all holdings which he has held for a day or more during the calendar year 2023 for filing of ITR for AY 2024-25. In capital gain, you can enter a consolidated value and report your gain and loss. If you want to know how to report capital gain, go through my other video of either RSU or ESPP.
Very useful information. Thanks. I have a question. Do we need to show foreign asset's (US stocks) dividend in ITR filing, That even not withdrawn from the broker (US stock broker)? I have purchased foreign assets (US stocks) for about 5000 rupees from India. And I have received dividends for that stocks in US broker website. Dividends are very low and I couldn't withdraw my money. Minimum requirement for withdrawal in 1$ but dividends are below 1$, So not able to withdraw that money. So do I need to show that dividends in ITR filling, Which I couldn't even received that money in my Indian bank?
Schedule Special Income - Foreign Income (Dividend) 38. Income chargeable under DTAA - "Tax Thereon" - you mention it should be lower of both tax. But shouldn't be it 'tax under normal provisions in india'? Based on that Part TTI will get relief with lower value? e.g. Foreign Income as Dividend (INR) =40000; Tax paid in US (25%) (INR) =10000; Tax payable in India (slab 30%) (INR)= 12000 Do we have to mention '12000' as 'Tax Thereon' in 'SI' so in Part TI it shows right value in 2.b and 11.b? So '10000' (paid in US) gets as relief. So need to pay 2000 (12000-10000) as additional tax in India? Please check if this is correct.
I was not aware of foreign stock disclosure, can I disclose foreign stock that I bought in year 2021, 2022 and 2023 in current year IT filing. I sold few in year 2023 only. No sells were done in earlier years.
As per the rule, you should disclose all foreign assets which you are holding or sold in calendar year 2023 for FY 2023-24 ITR filing. Also, need to declare the capital gain on Foreign shares if any. You can go through my video of ESPP/RSU for capital gain disclosure on Foreign shares.
@@Nama_CA Here question is "I disclose foreign stock that I bought in year 2021, 2022 and 2023 in current year IT filing?" Or do we need to revise old returns?
I will try to make video on this. Meanwhile you can use below link to calculate advance tax. incometaxindia.gov.in/Pages/tools/advance-tax-calculator.aspx
@Nama_CA Hi Mam, Thanks for the detailed explanations. In Schedule FA, do we need to disclose only the RSUs acquired in the calendar year 2023 or we need to disclose previous year's RSU that we still hold (RSUs acquired during calendar year 2021 and 2022 for which we have already submitted "Schedule FA" in previous ITR filing)
Thanks for the very informative video. I have some dividend income due to ESOPs listed in the US market. How to get 1042-S ? Is it mandatory to submit 1042S and also Form67 to claim tax credit ?
Mam, under 50k tak non blood relationship se Airdrop ya Gift me Koi tax nhi lagta hai...lekin agar 60k ka gift milta hai to 50k Exemption hoga aur only 10k me hi tax apply hoga....ye sahi hai ???
The procedure is same. You will get the tax rebate of lower of both tax rate. So in your case you will get tax rebate of 25%. But you need to calculate the average tax rate, 30% is tax slab not the average tax rate. Check my Form67 video for calculation of average tax rate. th-cam.com/video/nd7pohSwoD8/w-d-xo.html
I received RSU from company in July 2018 and sold them in February 2024. So, for schedule FA where we need to report foreign asset at the end of calender year,ie, 31 dec 2023, I should mention these stocks, right ? And what is the duration which is considered for reporting of Capital Gains on the sale of these US RSUs ? Will it be calender year (1st Jan 2023 to 31st dec 2023) or will it be Indian FY(1st Apr 2023 to 31st march 2024) ?
hello @Nama_CA my Foreign Assets schedule FA I have 300+ entries but my short-term capital is negative so i need to enter all info in schedule FA Manualy pls reply maam?
Yes, you need to enter every thing manually, FA schedule does not have CSV this year. If you need assistance can mail me on agrawalnamrtaandassociates@gmail.com
Ma,am in many articles over the internet i see disclosure has to be done for calendar year however the foreign dividend income for taxation has to be shown for financial year, kindly share if you have any reference that foreign dividend income will be taxed only per calendar year and not financial year
Hello @Nama_CA in my form 12 BA , i see value of 0 against stock option and also the whole perquisite is 0 , however I have received RSU as per my salary breakdown. So do i need to show in others in salary breakdown or it needs to be added as perquisites. ?
This video is very useful information. Thanks. I have got a question :- I am a green card holder & staying in India for more than 182 days in FY2023-24. Do I need to file as resident Indian or. As an NRI for filing ITR2 for FY2023-24. Kindly advice Thanks T P Rai
@Nama_CA- Thanks for making an effort to build such content for viewer, valuable information and very good content in this video, was searching for such detailed video. Quick question regarding ESOP/RSU, listed on US stock exchange, holding few RSU stock from FY20-21, but these foreign assets are not disclosed in last year ITR2 FA schedule, in impression to disclosed only after sell. Till now not sold any vested stock, should I disclosed all vested stock till now ( from last two years) in this financial year (FY22-23) of ITR submission ?
Thank you so much madam for this highly informative video. Please keep adding more videos on ESPP/RSU-related ITR filings and concepts on effectively saving taxes while ITR.
Hello Madam, This video has cleared almost all my doubts in filing ITR-2 with Form67 for my dividend income from foreign assets (shares). Thanks for your detailed explanation. my scenario is that I am purchasing my company shares every month under ESPP in Germany. Should add one line per month with preceding month's TTBR for each line (month) until Dec 2022? Would appreciate your guidance. Thanks.
Could you please make a video on foreign RSU taxation as well? I know most of the things will be the same but still if you could only highlight the foreign assets and foreign income part in the video. RSUs are awarded and not bought, so what all things would change for RSUs from normally purchased US stocks? There are not many videos specifically on RSU. Please consider it. Thanks.
The treatment is exactly same. That's why I use brough or given. I got the sense of your problem. Here I am giving one example: So assume you got 8 RSU from organization. So at the time of vested you got only 5 shares (3 was withhold for tax) So your foreign assets is only 5 shares. So you need to enter the 5 shares details with the date of it was credited in your account.
@@Nama_CA Thanks a lot for making the video. It's very helpful. Just subscribed to channel. As you mentioned 3 shares withhold for tax out of the 8 vested RSU. Is it required to mention the gain/loss from those 3 shares as part of capital gains? And under FSI schedule? If yes, which category under Capital gain schedule to be selected? Is it under "From sale of assets other than all the above listed items" and within that will it come under a(i) or a(ii)? Please reply🙏
@@Nama_CA Thanks so much for you response maam! Is this applicable for sell-to-cover tax method also? In this case first 8 shares are vested and then 3 shares are sold on same/next day. Actually I can see sell transaction in stock account. Also these are there in gain/loss statement as buy price of alloted shares seen different than sell price of shares withhold.
Hi Maam, I forgot to mention schedule FA and its associated dividends in ITR, so to correct it can I now fill form 67 and a revised ITR with declaring schedule FA and dividends?
Very Informative ...perhaps the only vedio that talks about nitty gritty of how to really fill FA schedule .People in general talk about theorytical aspect that people already know . Keep up the good work .
Ma'am I have one doubt in A3 we fill shares vested or shares held as the company by default on day of vesting sells some shares to cover for taxes . With my limited understanding Filled what is held actually as fa basically is a disclosure norm . Another problem that many people are facing is validation error saying dividend income cannot be greater than filled in BS statement . For a person using 44ADA what relations business has with dividend.
Hi Mam - In this video at (8:56) you were mentioning that we can claim the expenditures like STT for Capital gains on stocks (Deduction unders section 48 b(iii)). But is this possible? because as far as I know we can claim expenditures for business and professional income only right?
Very useful video ma'am! I have two doubts after watching the video. Could you please clarify these? 1. If I have shared of US company purchased through ESPP, do I need to select "Schedule Tax deferred on ESOP"? 2. If I have purchased an under-construction property (registration will happen after completion only), and paying installments through loan, do I need to mention it under "Schedule AL"? Also how much amount would I mention as asset and liability in this case it is required to be filled?
Thanks a lot for your compliment. 1. You need to declare US company's shares in Schedule FA. Schedule Tax deferred on ESOP is only for Start-ups and not for Foreign company shares. 2. In case your taxable income is more than 50 Lacs than only you need to declare in Schedule AL. Asset amount will be your property cost and Liability is your remaning loan amont.
For declaring scheduled fa, it should be till Dec 2022. For dividends obtained from foreign stocks, it it also till Dec 2022 only or we should provide info till March 2023
@@Nama_CA ma'am since while filling Schedule OS, it is required to mention split of dividend across quarters right, so how to mention the info about dividend received in Jan-Mar 2022?
Hi madam, In capital gain for expenses stt not to be considered as expenditure but you had considered. Please check the same thus stt can be considered only for f and o expenses.
Thanks mam , in part b TTI what I choose yes or no if my rsu vested after Dec and received dividend income after Dec 22 and vested share shown as perquisites in my salary. Please reply. If I go with yes then disclaimer is there where fsa have to update
@Nama_CA I have RSU(Restricted Stock Units) from my employer which have been vested but I haven't sold any yet. Do I need to file ITR-2 and declare schedule FA or just ITR 1 is enough?
Thank you for this. For filing "Schedule FA" do we need to fill the stocks purchased from "Jan-Dec" period or also stocks from last year? As in video you have shown stocks acquired older than 1 year.
@@Nama_CA Thank you so much your your response. One more question, If, we do not have TTBY value on a particular date. Should we use previous day value? Like on 15 Aug value is not available on website.
Hi Mam, I have started getting RSU from my company which is listed in US. My Form 16 has perqusites section where the tax is deducted for the RSU totla value I allotted. But the Fidelity(US broker) with held my 30% RSUs which is Double Taxation scenario. My question are as below: 1. Should I file for DTAA form only when I sell the shares and get my tax refunded? or Can I get refund of the tax deducted in India even if I didn’t sell the stocks for that FY. 2. I did't declare my foreign assets so for as I get them since 2021, what will be the implications?
Hello Mam, For Schedule SI , As per your description , it should be lower of tax amounts for dtaa category But it should always be Indian Tax amount , isn't it? (a) Avg. Tax Rate (India) < US Rate (25%). Foreign tax credit & indian tax both are same (your video example). (b) Avg. Tax Rate (India) > US Rate (25%). In this case , If i mention lower amounts here, us tax amount & same would be claimed by schedule TR. Net tax paid for foreign dividend again 0. But remaining tax (x-25)% of dividend amount still needs to be paid.
Hi Ma'am, Very informative video. Thanks for sharing with us. I had a question. Shouldn't the average tax calculation be done for some one who is NOT falling in the highest tax slab (for eg. 10% or 20%), so that the relief amount gets calculated average wise for the person whe his additional foreign income spans across multiple slabs? For a person who is already falling in highets tax slab 30% with domestic income, for him shouldn't the tas relief be calculated stright away as per the highest tax slab, instead of the average calculation?
Thanks a lot @Nama_CA for sharing this great video. Very well explained. I have few queries: 1. Do we need to declare custodial / brokerage account e.g. Vested, IND money (table A2 in drop down) in Schedule FA (in addition to equity details in Table A3) considering US has custodian model as against depository model of India ? 2. I have some interest income in Vested finance account (this is from the INR to USD that I transferred to buy US shares). Is this also a part of "Gross Income" that I see in 1042-S form OR does it only show Dividend income ? 3, If I wish to show both Interest income (point 2 above) & Dividend income in Schedule FSI, Do I just need to show Sum of both amounts ? & what should be the relevant DTAA article in this case as this is 10 & 11 for these two things and we can't add separate details for dividend & interest in Schedule FSI
Hello Ma'am I have received interest of 12INR by investing in US stocks. Should I declare it in Schedule FSI. I have not received form 1042-S as it was less than 10USD I have not sold any of my holdings and also not received any dividend form US stock. Should I fill FSI and TR schedule while filling ITR2 or just Schedule FA will be enough? Kindly clarify. Regards
Thank you ma'am for very well explained video.Pl clarify one thing that Perquisite received u/s 17(2) of salary against RSU received from US CO is also required to be fil in sch FSI or not. Amt of this in this video is 350000.
Mam I have one query.... If we bought Shares in the previous 2-3 years and at that time we didn't disclose in schedule FA. So can we revise ITR or can we disclose in Current year ITR.
Do I need to fill Schedule FSI and TR in ITR-2 if I am a resident Indian who received foreign salary in India from a remote job in the U.S.A. but no tax was deducted in foreign and is also NOT claiming DTAA tax relief because no tax paid in U.S.A.? Please advise. Thank you.
Hi Mam, I need some help. Can I simply ignore filling form 67? There is a very small amount for tax relief and I don't want the headache to fill the form. I have already submitted the ITR.
For Tax filing services, You can reach out to us at agrawalnamrtaandassociates@gmail.com
Related Video Link: How to file form 67 to claim foreign tax credit:
th-cam.com/video/nd7pohSwoD8/w-d-xo.html
ESPP Explained | How to declare ESPP in Schedule FA | Capital Gain Tax on ESPP in India th-cam.com/video/i52T18EL-zo/w-d-xo.html
Restricted Stock Units (RSUs) Explained | Taxation rules in India I Declare RSUs in Schedule FA | Capital Gain on RSUs th-cam.com/video/f0e4-j-T-JM/w-d-xo.html
Deviation in Video: There is one deviation under schedule SI: In the last column of row 38, please fill lower of both countries tax amount for dividend income. As per our example, we need to write INR 1215.
Link of Telegraphic Transfer Buying (TT Buying) rate for the conversion of foreign currency to INR: forexrateindia.com/sbi-bank-forex-rates-30-12-2022/
Hi Maam, Thank you for the detailed explanation :) I have one question, Under Tax Payable under Special Income should we mention the Tax at our Slab Rate for that dividend Income or Tax at Average Rate. In case of your example, 30 % of 8100 = 2430 is the taxable income. But u have mentioned it to be paid as 15 %(Average Tax Rate) of 8100 =1215. Could you please confirm whether it is 1215 or 2430. Thank you!
@@sharanyakaranth2463Average tax rate
@@Nama_CA Thank you!
@@sharanyakaranth2463 24:40 Why there is refund of 57,000 is showing? it is because of Tax paid against foreign share?
@Nama_CA
1) do we need declare RSU/ESPP under Foreign Assets?
2) I havent sold any RSU/ESPP but my company sold part of my shares for taxation purposes?
BR/Ravi
One of the very informative video i found on TH-cam for filling FA schedule in ITR.
Thank you for your feedback, it means a lot for me.
Excellent video, thanks for the detailed explanation of all the components. Keep it up.
Thanks for this video. This is one of the most complete and very well explained on ITR-2 AY 23-24.
Life saving video mam, great video, was searching this info from several days, atlast got it, many many thanks 👍
Glad it helped
Thanks Madam for your informative training video for form 67 and itr 2 with foreign assets. Following you I have just filed a return for this assessment year ie. 24-25.
This is a very informative vedio. Thanks a lot and kindly keep up this kind of good work!
Ma'am thanks for such detailed explaination. This is very helpful.
Thank you so much ma'am. Appreciate ur effor.❤
Super 👍 thank you your information
Thank you too
Excellent explanation.
Thank you ma'am. Video is very helpful.
Only video with great details
Very informative
Thanks @Nama_CA, The video is really informative. If part of RSU shares are "sold to cover taxes" at the time of vesting, then a) Should it be mentioned in capital gain as there is brokerage loss and there may be slight difference in fair market price for day vs proceeds value shown at broker account, also as well brokerage loss is involved? b) In FA, should it mentioned or it should be only for shares which we hold? For this case should FSI or any other section as well to be filled? Thanks for your guidance.
Same doubt
Any amount of thanks would be less to you Madam. Heartfelt thanks...❤
Very informative & helpful for salaried and having investments in Stock market...Kudos Mam...U have saved hundreds of people....
Btw which tool is used to mask the sensitive information mam? please advise....
Thanks a lot for making this video. much needed.
I have a doubt,
I have a company RSU account.
do I have to show the dividend received for RSUs?
and I have one more doubt, I purchased some US stocks on 30-dec-2022 but the allotment date is 04th jan 2023, should I show this in Schedule FA?
Madam, Make videos on ITR-1 salaried employee and ITR -4 for freelancer or small business owners..And project report for small Business loan (mudra loan 5 or 10 lakh)
Sure for this financial year
@Nama_CA Wonderful explanation madam! thank you so much. Your video is a life saver.
I have query about Schedule FA Table A3
1. If I was allotted RSU after the date of peak value in 2022 then which day price should I use for those stocks to calculate peak value of investment during the period ?In your example peak value is on 4 Jan 22 and shares are acquired on 4 Jan 22. If they are allocated after 4 Jan 22 say on 5 April 22, what should be the peak value of investment ?
2. For RSU allocated by MNC what should be the Initial value of investment. Is it same as purchasing shares or should it be zero ?
IN FA schedule the Dividend was reinvested in share, so can total gross amount paid/cred with respect to the holding during peroid as zero
total gross amount paid/cred with respect to the holding during period is the dividend value you received on those shares.
Hello Ms. Namrata. First of all, thank you so much. Since last few days, I have been seeing several videos that talk about declaring foreign assets in ITR-2. After seeing all three of your videos, without any doubt I can say that the way you have presented is one of the best. Thank you again for taking time out to create it - I am also subscribing to your channel. 🙂
I have one query and hope you would clarify.
While filling the schedule FA, you have taken an example of Microsoft. In this case, the shares are listed in USA while the headquarters of the company is also in USA. However, my question is how will the information change if lets say shares of a company are listed in USA (e.g., NYSE) but, the headquarters are in some other country (e.g., Ireland)? In this situation what should be filled in the field - Country/Region Name and Code? Should it be USA (because stocks are listed there) or Ireland (because company is headquartered there)?
This also becomes important because it might also impact calculations of tax in dividends since USA might have a different tax rates than the Irish tax rate. Even Government of India might or might not have DTAA with the other country.
I look forward to hearing from you.
Thank you!
Hi Shubham, thank a lot for your compliments.
In the given case, company listed in USA and tax also deducted in USA so in country name in ITR will be USA
@@Nama_CA: Thank you for the reply. However, while the shares are listed in USA, the country in which tax has been deducted is Ireland as the company is registered there. In view of this, please suggest.
In your case, your assets belong to Ireland. So In calculation, you need to use the US conversion rate as the share rate will be in USD as listed in USA but article number and tax rate need to take according to Ireland.
@Nama_CA In your video when you go to TI (Part B - TI) in the end and see row number 12 to 17 you will see income from dividend is reduced from total taxable income (row 13). But it should not be subtracted and rebate of DTAA tax is again claimed separately and is visible in Part B - TTI.
Here it is like, it has reduced dividend amount and also returned 25% tax. So this should be corrected. Can you check if I am correct?
Yes, you are right. I have added an error comment in the description and pinned the comment to help you correct this
Hello ma'am I have Microsoft stocks since 2020 but I didn't purchase any stocks in current year i.e. 01/01/2023 to 31/12/2023 still do I have to fill FA schedule?
Yes
In the forex rate link, for any particular date, there are two tables for exchange rates. Which one is to be used for converting dollar income to INR? Please explain. Thanks.
Thanks for sharing such valuable information. I received dividends in 2022 as well as in January 2023. Should I add January 2023 dividend to the total dividend income in this year ITR? As US calendar year is from Jan to Dec, 2022. Please help.
Nice Video. I was looking for Schedule FA & your video helped me alot. I've a question: the same methodology works for both RSU & ESPP? Could you please clarify. Thanks in advance
Thank you Jay. Yes the same method works for RSU and ESPP. Share with your friend and family.
@@Nama_CA thank you. Sure 🙂
Hi Madam, If i have a foreign US stock that i have bought in different quantities multiple times and sold multiple times in a year, how to enter multiple transactions of the same stock? Do we need to calculate average value ?
You will have to do separate entries for each transaction as per buying date and purchase value. In Schedule FA, the assessee has to disclose all holdings which he has held for a day or more during the calendar year 2023 for filing of ITR for AY 2024-25. In capital gain, you can enter a consolidated value and report your gain and loss. If you want to know how to report capital gain, go through my other video of either RSU or ESPP.
In case of ESOP -
What should be the initial value of investment - Market Value or the Discounted Value with which purchase was made?
Discounted value
Very useful information. Thanks. I have a question.
Do we need to show foreign asset's (US stocks) dividend in ITR filing, That even not withdrawn from the broker (US stock broker)?
I have purchased foreign assets (US stocks) for about 5000 rupees from India. And I have received dividends for that stocks in US broker website. Dividends are very low and I couldn't withdraw my money. Minimum requirement for withdrawal in 1$ but dividends are below 1$, So not able to withdraw that money. So do I need to show that dividends in ITR filling, Which I couldn't even received that money in my Indian bank?
Schedule Special Income - Foreign Income (Dividend) 38. Income chargeable under DTAA - "Tax Thereon" - you mention it should be lower of both tax. But shouldn't be it 'tax under normal provisions in india'? Based on that Part TTI will get relief with lower value?
e.g.
Foreign Income as Dividend (INR) =40000;
Tax paid in US (25%) (INR) =10000;
Tax payable in India (slab 30%) (INR)= 12000
Do we have to mention '12000' as 'Tax Thereon' in 'SI' so in Part TI it shows right value in 2.b and 11.b? So '10000' (paid in US) gets as relief. So need to pay 2000 (12000-10000) as additional tax in India? Please check if this is correct.
24:40 Why there is refund of 57,000 is showing? it is because of Tax paid against foreign share?
❤❤❤
I was not aware of foreign stock disclosure, can I disclose foreign stock that I bought in year 2021, 2022 and 2023 in current year IT filing.
I sold few in year 2023 only. No sells were done in earlier years.
As per the rule, you should disclose all foreign assets which you are holding or sold in calendar year 2023 for FY 2023-24 ITR filing. Also, need to declare the capital gain on Foreign shares if any. You can go through my video of ESPP/RSU for capital gain disclosure on Foreign shares.
@@Nama_CA Here question is "I disclose foreign stock that I bought in year 2021, 2022 and 2023 in current year IT filing?" Or do we need to revise old returns?
Do we need to fill shares in unlisted shares if shares are on foreign stock exchange
form 1042s s showing 5 usd tax but in etrade statement it shows 5.6 usd what value to use
Hi ma'am, Can you make a video of advance tax also?
I will try to make video on this. Meanwhile you can use below link to calculate advance tax. incometaxindia.gov.in/Pages/tools/advance-tax-calculator.aspx
@@Nama_CA thanks ma'am. Looking forward to it!
@Nama_CA Hi Mam, Thanks for the detailed explanations. In Schedule FA, do we need to disclose only the RSUs acquired in the calendar year 2023 or we need to disclose previous year's RSU that we still hold (RSUs acquired during calendar year 2021 and 2022 for which we have already submitted "Schedule FA" in previous ITR filing)
All
Thanks for the very informative video. I have some dividend income due to ESOPs listed in the US market. How to get 1042-S ? Is it mandatory to submit 1042S and also Form67 to claim tax credit ?
To claim tax rebate it is mandatory.
Mam, under 50k tak non blood relationship se Airdrop ya Gift me Koi tax nhi lagta hai...lekin agar 60k ka gift milta hai to 50k Exemption hoga aur only 10k me hi tax apply hoga....ye sahi hai ???
what is the procedure if Indian avg tax rate is above foreign tax rate? eg tax slab is 30% and foreign dividend tax rate is 25%
The procedure is same. You will get the tax rebate of lower of both tax rate. So in your case you will get tax rebate of 25%. But you need to calculate the average tax rate, 30% is tax slab not the average tax rate. Check my Form67 video for calculation of average tax rate. th-cam.com/video/nd7pohSwoD8/w-d-xo.html
While SBI currency there are two rate
1. Below 10 lakh
2. Above 10 lakh
which rate we should if we have less than 10 lakh investment?
Above 10 lakh
I received RSU from company in July 2018 and sold them in February 2024. So, for schedule FA where we need to report foreign asset at the end of calender year,ie, 31 dec 2023, I should mention these stocks, right ? And what is the duration which is considered for reporting of Capital Gains on the sale of these US RSUs ? Will it be calender year (1st Jan 2023 to 31st dec 2023) or will it be Indian FY(1st Apr 2023 to 31st march 2024) ?
Yes CY23
I was trying buy thanks but it gives error. Please share correct payment link.
@@manojthapliyal1978 I have checked it’s working fine ☺️
Hi Mam,
If a person doesn't have TIN and Passport number, can any other info(pan number etc) be used to fill in the field ?
No as per Income tax act its not allowed
Please share the link of exel file shown
As per your video calander year is 1.1.22 till 31.3.22 . Then why date of 9.2.2021 is shown?
@@hetaldama8008 because I am holding that assets in 2022.
@@Nama_CA
And if shares vested on 9.2.23 then i will ahow in next year ITR?
Very useful video mam
If I have not transferred the dividend amount from the USA to the Indian bank account, Do I still have to file form-67?
Yes, As tax is deducted in US.
You have to declare it in form 67 and take tax rebate.
Then pay tax in India.
@@puneet443 Where can you find on etrade that taxes have been deducted?
@@lokeshnegi3051 1042 s form , its there in etrade
Hi mam.if we holding us stocks and getting dividend less than 2 $ . Do i need to file itr 2. Or esle itr 1 is sufficient
ITR 2 for Foreign assets
hello @Nama_CA my Foreign Assets schedule FA I have 300+ entries but my short-term capital is negative so i need to enter all info in schedule FA Manualy pls reply maam?
Yes, you need to enter every thing manually, FA schedule does not have CSV this year. If you need assistance can mail me on agrawalnamrtaandassociates@gmail.com
@@Nama_CA thank you mam for ur reply
@@Nama_CA
I filed my ITR. want to discuss in call. How to approach you?
Pls reply mam ....
Ma,am in many articles over the internet i see disclosure has to be done for calendar year however the foreign dividend income for taxation has to be shown for financial year, kindly share if you have any reference that foreign dividend income will be taxed only per calendar year and not financial year
Informative and interesting 👍🏼
Hello @Nama_CA
in my form 12 BA , i see value of 0 against stock option and also the whole perquisite is 0 , however I have received RSU as per my salary breakdown. So do i need to show in others in salary breakdown or it needs to be added as perquisites. ?
Thanks a lot... I was searching for this for soo long
This video is very useful information. Thanks.
I have got a question :- I am a green card holder & staying in India for more than 182 days in FY2023-24. Do I need to file as resident Indian or. As an NRI for filing ITR2 for FY2023-24.
Kindly advice
Thanks
T P Rai
As per rule. You should file the ITR as a resident of India.
Whether, shares held in foreign depository beneficial owner account, are to be shown every year in Item A2 of Schedule FA, in the ITR?
Yes
What a crisp description of each section . Thank you so much for providing such a detailed guidelines for filing ITR2. YOU rock.
Thanks, Nama Ma'am for the detailed video ITR2 filing with Form67_Schedule FA..it was quite helpful
Heartfelt gratitude to you ma'am. Was able to fill just by following ur video. Thanks a lot.
@Nama_CA- Thanks for making an effort to build such content for viewer, valuable information and very good content in this video, was searching for such detailed video.
Quick question regarding ESOP/RSU, listed on US stock exchange, holding few RSU stock from FY20-21, but these foreign assets are not disclosed in last year ITR2 FA schedule, in impression to disclosed only after sell.
Till now not sold any vested stock, should I disclosed all vested stock till now ( from last two years) in this financial year (FY22-23) of ITR submission ?
Revise return is allowed till 6 months from the end of assessment year i.e. 31st Dec. So you should declare all assets this year.
Thank you so much madam for this highly informative video.
Please keep adding more videos on ESPP/RSU-related ITR filings and concepts on effectively saving taxes while ITR.
@@SatyakiChatterjee glad to know this…thank you…. Surely add more tax savings and ITR related videos…
This video is just perfect.. Great job Ma'am
Please upload more videos of services like society tds patent company incorporation
Very informative & helpful esp for working ppl having salary+espp
Super helpful video. Thanks!
Hello Madam,
This video has cleared almost all my doubts in filing ITR-2 with Form67 for my dividend income from foreign assets (shares). Thanks for your detailed explanation.
my scenario is that I am purchasing my company shares every month under ESPP in Germany. Should add one line per month with preceding month's TTBR for each line (month) until Dec 2022? Would appreciate your guidance.
Thanks.
You need to add each line for foreign assets. Form67 is for dividend not for foreign assets.
Thank you so much ma'am. Was very helpful.
Mast
Could you please make a video on foreign RSU taxation as well? I know most of the things will be the same but still if you could only highlight the foreign assets and foreign income part in the video. RSUs are awarded and not bought, so what all things would change for RSUs from normally purchased US stocks? There are not many videos specifically on RSU. Please consider it. Thanks.
The treatment is exactly same. That's why I use brough or given. I got the sense of your problem. Here I am giving one example: So assume you got 8 RSU from organization. So at the time of vested you got only 5 shares (3 was withhold for tax) So your foreign assets is only 5 shares. So you need to enter the 5 shares details with the date of it was credited in your account.
@@Nama_CA Okay. Thanks a lot. Subscribed to your channel.
@@Nama_CA Thanks a lot for making the video. It's very helpful. Just subscribed to channel.
As you mentioned 3 shares withhold for tax out of the 8 vested RSU. Is it required to mention the gain/loss from those 3 shares as part of capital gains? And under FSI schedule?
If yes, which category under Capital gain schedule to be selected?
Is it under "From sale of assets other than all the above listed items" and within that will it come under a(i) or a(ii)?
Please reply🙏
These 3 shares are not your assets and it is also not credited to your trading account. So you don't need to do anything for these 3 shares.
@@Nama_CA Thanks so much for you response maam!
Is this applicable for sell-to-cover tax method also? In this case first 8 shares are vested and then 3 shares are sold on same/next day. Actually I can see sell transaction in stock account. Also these are there in gain/loss statement as buy price of alloted shares seen different than sell price of shares withhold.
Germany and india DTAA rate is 10 percent..if at germany 26 percent tax is cut...how much tax relief i will receive in itr in india- 10 or 26-10=16?
For tax rebate calculation you should use tax rate as per DTAA i.e. 10%
Life saver ! thank you
Hi Maam, I forgot to mention schedule FA and its associated dividends in ITR, so to correct it can I now fill form 67 and a revised ITR with declaring schedule FA and dividends?
Yes you should
This is very helpful!. Thank you.
Highly informative video!
Very Informative ...perhaps the only vedio that talks about nitty gritty of how to really fill FA schedule .People in general talk about theorytical aspect that people already know .
Keep up the good work .
Glad it was helpful!
Ma'am I have one doubt in A3 we fill shares vested or shares held as the company by default on day of vesting sells some shares to cover for taxes . With my limited understanding Filled what is held actually as fa basically is a disclosure norm .
Another problem that many people are facing is validation error saying dividend income cannot be greater than filled in BS statement . For a person using 44ADA what relations business has with dividend.
@@EuphoniousWords whatever you hold is your asset.
Many thanks!!!
🙂
thanks you very much madam with your videos able to do my ITR2 filling with foreign assets.
Glad to hear that
Hi Mam - In this video at (8:56) you were mentioning that we can claim the expenditures like STT for Capital gains on stocks (Deduction unders section 48 b(iii)).
But is this possible? because as far as I know we can claim expenditures for business and professional income only right?
Very useful video ma'am!
I have two doubts after watching the video. Could you please clarify these?
1. If I have shared of US company purchased through ESPP, do I need to select "Schedule Tax deferred on ESOP"?
2. If I have purchased an under-construction property (registration will happen after completion only), and paying installments through loan, do I need to mention it under "Schedule AL"? Also how much amount would I mention as asset and liability in this case it is required to be filled?
Thanks a lot for your compliment.
1. You need to declare US company's shares in Schedule FA. Schedule Tax deferred on ESOP is only for Start-ups and not for Foreign company shares.
2. In case your taxable income is more than 50 Lacs than only you need to declare in Schedule AL. Asset amount will be your property cost and Liability is your remaning loan amont.
@@Nama_CA thanks ma'am for clarifying!
Excellent vedio explaining every small detail connected with foreign assets.
Glad it was helpful!
I am in india and i have us share I don't have US TIN or passport how can i create tin number
Please check the IRS US site for the TIN number process. In my opinion applying for Passport will be easier for you.
For declaring scheduled fa, it should be till Dec 2022. For dividends obtained from foreign stocks, it it also till Dec 2022 only or we should provide info till March 2023
Till 31st December 2022 only.
@@Nama_CA and what about stocks sold in JAN-MAR 2023 period ?
@@Nama_CA ma'am since while filling Schedule OS, it is required to mention split of dividend across quarters right, so how to mention the info about dividend received in Jan-Mar 2022?
Ma'am, kindly answer this
Thanks so much for sharing this information, very helpful to so many of us,
Glad to hear this, thank you
Thanks
Why are you showing asset acquired on 09-Feb-2021?
We have to show all assets which we are holding in calander year 2023 for AY 2023-24 filing irrespective of acquired year
Hi madam,
In capital gain for expenses stt not to be considered as expenditure but you had considered. Please check the same thus stt can be considered only for f and o expenses.
What are the reports reqd from client for fill all the RSU related details
If you want filing services then mail me on agrawalnamrtaandassociates@gmail.com
Thanks mam , in part b TTI what I choose yes or no if my rsu vested after Dec and received dividend income after Dec 22 and vested share shown as perquisites in my salary. Please reply. If I go with yes then disclaimer is there where fsa have to update
@Nama_CA I have RSU(Restricted Stock Units) from my employer which have been vested but I haven't sold any yet. Do I need to file ITR-2 and declare schedule FA or just ITR 1 is enough?
You have to file ITR2 and declare it in Schedule FA.
Same i have stocks but only vested not sold any stocks as such what all sections i need to fill?
@@pranavsharma7479 You have to fill Schedule OS, FSI, TR, and FA for declaring Foreign Assets and dividend income on Foreign assets.
Thank you for this. For filing "Schedule FA" do we need to fill the stocks purchased from "Jan-Dec" period or also stocks from last year? As in video you have shown stocks acquired older than 1 year.
In Schedule FA we need to declare all stocks which we are holding at year end irrespective of purchasing year.
@@Nama_CA Thank you so much your your response. One more question, If, we do not have TTBY value on a particular date. Should we use previous day value? Like on 15 Aug value is not available on website.
@@rajatjain5559 Yes you can.
Hi Mam, I have started getting RSU from my company which is listed in US. My Form 16 has perqusites section where the tax is deducted for the RSU totla value I allotted. But the Fidelity(US broker) with held my 30% RSUs which is Double Taxation scenario. My question are as below:
1. Should I file for DTAA form only when I sell the shares and get my tax refunded? or Can I get refund of the tax deducted in India even if I didn’t sell the stocks for that FY.
2. I did't declare my foreign assets so for as I get them since 2021, what will be the implications?
Hello Mam,
For Schedule SI , As per your description , it should be lower of tax amounts for dtaa category
But it should always be Indian Tax amount , isn't it?
(a) Avg. Tax Rate (India) < US Rate (25%). Foreign tax credit & indian tax both are same (your video example).
(b) Avg. Tax Rate (India) > US Rate (25%). In this case , If i mention lower amounts here, us tax amount & same would be claimed by schedule TR. Net tax paid for foreign dividend again 0.
But remaining tax (x-25)% of dividend amount still needs to be paid.
Hi Ma'am,
Very informative video. Thanks for sharing with us.
I had a question. Shouldn't the average tax calculation be done for some one who is NOT falling in the highest tax slab (for eg. 10% or 20%), so that the relief amount gets calculated average wise for the person whe his additional foreign income spans across multiple slabs?
For a person who is already falling in highets tax slab 30% with domestic income, for him shouldn't the tas relief be calculated stright away as per the highest tax slab, instead of the average calculation?
Thanks a lot @Nama_CA for sharing this great video. Very well explained. I have few queries:
1. Do we need to declare custodial / brokerage account e.g. Vested, IND money (table A2 in drop down) in Schedule FA (in addition to equity details in Table A3) considering US has custodian model as against depository model of India ?
2. I have some interest income in Vested finance account (this is from the INR to USD that I transferred to buy US shares). Is this also a part of "Gross Income" that I see in 1042-S form OR does it only show Dividend income ?
3, If I wish to show both Interest income (point 2 above) & Dividend income in Schedule FSI, Do I just need to show Sum of both amounts ? & what should be the relevant DTAA article in this case as this is 10 & 11 for these two things and we can't add separate details for dividend & interest in Schedule FSI
Hello Ma'am
I have received interest of 12INR by investing in US stocks. Should I declare it in Schedule FSI.
I have not received form 1042-S as it was less than 10USD
I have not sold any of my holdings and also not received any dividend form US stock.
Should I fill FSI and TR schedule while filling ITR2 or just Schedule FA will be enough?
Kindly clarify.
Regards
Thank you ma'am for very well explained video.Pl clarify one thing that Perquisite received u/s 17(2) of salary against RSU received from US CO is also required to be fil in sch FSI or not. Amt of this in this video is 350000.
Mam
I have one query....
If we bought Shares in the previous 2-3 years and at that time we didn't disclose in schedule FA.
So can we revise ITR or can we disclose in Current year ITR.
Do I need to fill Schedule FSI and TR in ITR-2 if I am a resident Indian who received foreign salary in India from a remote job in the U.S.A. but no tax was deducted in foreign and is also NOT claiming DTAA tax relief because no tax paid in U.S.A.?
Please advise.
Thank you.
Hi Mam,
I need some help. Can I simply ignore filling form 67? There is a very small amount for tax relief and I don't want the headache to fill the form. I have already submitted the ITR.