Submit Permanent Establishment (PE) Declaration before 20 June 2022
Avoid implication of higher TDS (62.40%) on your interest.
Pursuant to our previous communication related to inclusion of Sections 206AB and 206CCA in the Income Tax Act, 1961, we would like to inform you of the changes introduced as per these provisions w.e.f 1 April 2022. A higher rate of TDS/TCS will apply w.e.f. 1 April 2022, if:
- Your Permanent Account Number (PAN) is not updated with the Bank (In case you are holding PAN, kindly submit scanned copy of the same to nri@indusind.com) OR
- Based on your PAN details you have been categorised as 'Specified Person' by Income Tax Dept. i.e. You have not filed your Income Tax Returns for the last financial year (FY20-21) and the aggregate TDS/TCS credit is ₹50,000 or more in the said financial year. The above conditions are not applicable if the customer does not have permanent establishment in India as defined in the note below.
What you need to do?
- Download the Permanent Establishment Declaration. Click here
- Duly fill, sign and email a scanned copy of the Permanent Establishment Declaration along with a scanned copy of PAN to nri@indusind.com latest by 20 June 2022.
Please make note of the following TDS Implications
| If you have a Permanent Establishment in India, but your PAN is not updated with the Bank OR if you are a defaulter on the basis of checks carried out by the Bank on ITD Compliance portal |
TDS will apply at 62.40%(inclusive of Surcharge + Cess) |
| If you do not have a Permanent Establishment in India | Exempted from Section 206AB – TDS will apply at the normal rate of 31.20% (inclusive of Surcharge + Cess) |
Note:-
- Permanent establishment for this purpose includes a fixed place of business carried out wholly or partially.
- TDS is applicable only on the interest earned on NRO Savings and Term Deposits.
- Any such tax deduction will be duly remitted to the Government of India within the stipulated timeline and the bank will not be able to refund the same.
For any further assistance or guidance, please contact your Relationship Manager or call our dedicated toll-free numbers. Alternatively, you may write to us at nri@indusind.com
Assuring you of our best services at all times.