CORPORATE TAX >>
CORPORATE TAX IS PAID BY COMPANIES , BRANCHES AND PROJECT OFFICES OF OVERSEAS COMPANIES ON PROFITS AND OTHER INCOME
RATES FOR FY 2011-2012 Company Percentage (%)
1
Foreign 40
2
Domestic 30
1 plus surcharge at 2 % for foreign companies if income exceeds INR 10,000,000
( USD 220,900 approx ) and education cess of 3 % 2 plus surcharge at 5 % for domestic companies if income exceeds INR 10,000,000 ( USD 220,900 approx ) and education cess of 3 %
CORPORATE TAX Businesses need to determine their annual tax payment and ensure deposit th
under an installment plan referred as Advance Tax by June 15 ( 15 %), September th th th
15 ( 45 %), December 15 ( 75 %) and March 15 ( 100 %).
TRANSFER PRICING Businesses having cross border dealing with related concerns fall within ambit of Indian Transfer Pricing regulations , which requires maintenance of prescribed documentation and certification by an Indian firm of chartered accountants .
DOUBLE TAXATION AVOIDANCE AGREEMENT (' DTAA ') India has a network of DTAA with over 85 countries .
WITHHOLDING TAX Businesses , including Liaison Office , need to withhold tax on specified payments viz . contractual , professional , rental , etc .
TAX AUDIT Businesses with annual turnover exceeding INR 6 million ( USD 132,500 approx ) need to have accounts audited under specific provisions of the Indian income tax laws and certified by an Indian firm of chartered accountants .