Double Taxation Avoidance Agreement (DTAA) is an Agreement entered by India with various countries. Under the current DTAA provisions, NRI customers will be entitled to lower withholding tax (TDS) subject to fulfillment of certain conditions.
With the DTAA benefit, you can now enjoy the benefit of concessional rate of Tax Deducted at Source (TDS) on the interest of your NRO Account or Fixed Deposit, providing you a higher yield as compared to the regular NRO Account or Fixed Deposit.
You can visit the nearest Deutsche Bank branch and submit the following documents to avail of this facility.
- Tax Residency Certificate (TRC) for the period covering interest payable and confirming the ‘tax residency’ of the payee
- Duly filled declaration advising the tax residency of the account holder
- PAN Card copy for all applicants
- Self attested copy of passport and visa
Click here for format of declaration.
- The declaration should have details of all accounts where you are the primary applicant (NRO Savings Account and NRO Fixed deposits).
- To avail of the facility for one complete financial year, you should provide the documents by March 15 of the previous year (Customers who have availed of the facility for one financial year will have to provide the documents again to avail of it in the next financial year as well).
- If you do not submit your documents before 31st March, the DTAA benefit will not be applicable on the accounts for the next financial year (till such time that you submit the documents) and the tax rate will revert to the standard rate from 1st April.
- If you provide the documents on any date during the financial year, the reduced tax rate will be applicable from that date.
- Tax once deducted at 30% and remitted to tax authorities will in not be refunded on submitting documents subsequently.