Fixed Deposit

NRI Banking FAQS

Double Taxation Avoidance Agreement

What is Double Taxation Avoidance Agreement (DTAA)?

  • Inclusions in sweep-in

Double Taxation Avoidance Agreement (DTAA) is a bilateral agreement that the Government of India has with certain foreign countries to promote and foster economic trade and investments between these countries. The advantage under this agreement is that rate of taxes deducted on the interest earned on Non-Resident Ordinary Deposits and Non-Resident Ordinary savings account may be lower than the normal applicable rate of taxes deducted at source.

DTAA benefit is available on IDFC Bank NRO Savings, NRO Fixed Deposits & NRO Recurring Deposits.

To update DTAA details with the bank please provide the following documents:

  1. DTAA request letter
  2. Tax Residency Certificate (This wil be issued by the appropriate authority in your country of residence)
  3. Form 10F

Please e-mail the signed forms & self-attested copies of documents to nri@idfcbank.com or submit it at the nearest IDFC Bank Branch.

Please refer to the table below to understand the benefits of Double Taxation Avoidance Agreement:

Country Normal Rate of Tax applicable currently Rate of Tax applicable under Double Taxation Avoidance Agreement (DTAA)
Kuwait
30% + CESS
10%
Qatar
30% + CESS
10%
Japan
30% + CESS
10%
South Africa
30% + CESS
10%
New Zealand
30% + CESS
10%
Germany
30% + CESS
10%
France
30% + CESS
10%
Oman
30% + CESS
10%
Saudi Arabia
30% + CESS
10%
Indonesia
30% + CESS
10%
Swiss Conf
30% + CESS
10%
Malaysia
30% + CESS
10%
UAE
30% + CESS
12.5%
Canada
30% + CESS
15%
Spain
30% + CESS
15%
Philippines
30% + CESS
15%
Singapore
30% + CESS
15%
United Kingdom
30% + CESS
15%
Kenya
30% + CESS
15%
United States of America
30% + CESS
15%
Australia
30% + CESS
15%
Thailand
30% + CESS
25%

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