I Tax on dividend from company registered in Paris, France, Income Tax

[Deepak Thar]

I am a resident Indian. I have invested in a shares of a paris, France head quartered company "Air Liquide" as an employee quota and this shares are having locked in period of 5 years.

This year company declared dividend of 2.5 euro per shares. For the individual staying outside france has to submit form 5000 to avoid tax deduction at source (which is 30% this year) and this form should be signed and stamped by the local(India) government.

My question is

01) Is dividend received from a registered company( Registered in Paris, France) having office in New Delhi where i am working as an employee is taxable to the receipient, under income tax rule of India.

02) If dividend issueing company provides certificate of tax deducted (30%) at source, How it helps me while filing my I-Tax return in India/claim refund(if eligible as per DTAA rule).

03) If from next year I don't want dividend issuing company to cut tax at rouce; where from I will get sign & stamp of I-tax. deptt. of India(i.e. office and responsible deptt./person of I-Tax deptt. in N. Delhi)

04) Is it advisable allow tax cutting at sourse in Paris,France or to pay I. tax in India as I see not much difference in Taxation, except additional education cess of 3% in india.

Posts / Replies

[CA GOPALJI AGRAWAL]

For a resident and ordinarily resident, the world income is taxable.