Non Resident Special Tax 115

General Provisions

Tax Rates (Special)

Special provisions in relation to certain income of non-residents [Sec. 115A to Sec.115AC]

Following table enumerated the provisions relating to sec.115A to 115AC

Sec. / Particulars	115A(1)(a)	115A(1)(b)	115AB	115AC
Applicable on	Non-resident	Non-resident	Overseas financial organization (Note 2)	Non-resident
Income covered	Interest received from Government or an Indian concern on money given in foreign currency	Royalty or fees for technical services (other than income covered u/s 44DA) received as per agreement entered on or after 1-6-2005 (See Note)	Long-term capital gains arising from the transfer of units of UTI or mutual fund specified u/s 10(23D) purchased in foreign currency	a) Interest on notified foreign currency bonds of Indian / public sector company b) LTCG arising on transfer of such bonds or Global Depository Receipts (GDR)
Special tax rate	20%	10%	10%	10%
Allowability of expenditure u/s 28 to 44C & sec. 57	No	No	Not Applicable	No
Deduction u/ch VIA	Not available	Available	Not available	Not available
Index benefit	Not Applicable	Not Applicable	Not Available	Not Available
Requirement to furnish return #	No	Yes	Yes	No

# If total income consists of such income only and tax has been deducted from such income

Note:

In case, agreement is entered between following dates, royalty income shall be taxable at

Overseas financial organisation means any fund, institution, association or body, whether incorporated or not, established under the laws of a country outside India, which has entered into an arrangement for investment in India with any public sector bank or public financial institution or a mutual fund specified u/s 10(23D) and such arrangement is approved by the Securities and Exchange Board of India.

Special provisions in relation to certain income of non-residents [Sec. 115ACA to Sec.115BBA]

Following table enumerated the provisions relating to sec.115ACA to 115 BBA

Sec. / Particulars	115ACA	115AD		115 BBA (1)(a)	115 BBA (1)(b)
Applicable on	Resident individual	Foreign Institutional Investor		Non-resident sportsman being foreign citizen	Non-resident sports association
Income covered	Long-term capital gains on transfer of GDR of an Indian company engaged in specified knowledge based industry or service (Note 3)	Income on securities (other than unit referred to in sec. 115AB) STCG or LTCG on transfer of such securities		Income by way of: participation in India in any game or sport; or advertisement; or contribution of articles relating to any game or sport in India in newspapers, magazines or journals	Any amount guaranteed to be paid or payable to such association for any game or sport played in India
Special tax rate	10%	STCG u/s 111A (i.e. on which STT is levied)	15%	10%	10%
		Other STCG	30%
		LTCG	10%
		Other Income	20%
Allowability of expenditure u/s 28 to 44C & sec. 57	Not Applicable	No		No	No
Deduction u/ch VIA	Not available	Not available		Not available	Not available
Index benefit	Not Available	Not Available		Not Applicable	Not Applicable
Requirement to furnish return #	Yes	Yes		No	No
Others	Assessee must be an employee of such company or its subsidiary			Winning from lottery, cross-word puzzles etc. is taxable @ 30% u/s 115BB

Note 3 : Specified knowledge based industry or service means:

information technology software;

information technology service;

entertainment service;

pharmaceutical industry;

bio-technology industry; and

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