Form 10F: A Step by Step Guide for Non-Residents

Overview

Form 10F is a self-declaration tax form designed for Non-Residents (NRs) seeking benefits under Double Taxation Avoidance Agreements (DTAA). It is particularly relevant when the Tax Residency Certificate (TRC) lacks essential information.

Purpose & Benefits

According to Rule 37BC of the Income Tax Rules, 1962 states that in order to claim relaxation from deduction of withholding tax at a higher rate due to non-availability of PAN, one has to provide the following details:

• Tax Identification Number
• Email Id
• Contact Number
• No Permanent Establishment Certificate

If the above details are not mentioned in TRC then one has to file E-form 10F in order to claim the benefit of DTAA.

Form 10F opens a way for NR taxpayers to claim Tax exemptions and deductions on the income earned by them in India.

Benefits:

• Deduction of Withholding Tax at lower rate.
• Compliance with Income Tax Regulations
• Faster processing of Income Tax Returns.

Applicability

Form 10F is mandatory for NRs whose TRC lacks the necessary disclosures required to claim DTAA benefits. It helps taxpayers benefit from Rule 37BC, preventing higher withholding tax deductions.

Documents Required

When applying for Form 10F, the following documents are necessary:

• Status of Taxpayer whether it’s a company, firm, or individual, etc.
• PAN Card (if available)
• Residential Address Proof
• Duration of Residential Status as per TRC/ Validity of TRC
• Proof of Nationality in case of individuals; certificate of incorporation in case of non-individuals
• Tax Identification Number/ Unique number issued by country of residence.
• Digital Signature Certificate for authenticating information provided in Form 10F.

Online Application Process

Part A: E-filing Account creation for NRs

Step 1: Register without PAN by selecting “OTHERS” and choosing “Non-residents not holding and not required to have PAN”.

Step 2: Once category selected in step 1, next page requires following Basic Details:

• Category of Taxpayer
• Taxpayer’s name
• Date of Incorporation
• Tax Identification Number
• Country of Residence

Step 3: After filling out above details, next one has to provide details of his key person or authorised signatory details i.e. His name, DOB, TIN and Designation.

Step 4: Fill out contact details such as mobile number, email id and postal address.

Step 5: Verify mobile number through OTP.

Note: Since OTP verification is there, one should provide Indian mobile numbers.

Step 6: Attach the required documents and verify details.

Note: IDs and documents must be valid in the country of residence.

On successful submission and verification of details, one will receive Login Credentials for the Income Tax Portal on the registered email address.

On creation of Login credentials, you can file Form 10F.

Part B: Filing of Form 10F.

1. Login on the Income Tax Portal with generated Login Credentials.
2. Navigate to the e-file menu and select Income Tax Forms.
3. Click on File Income Tax Forms
4. Select “Person not dependent on any source of income” on the next page.
5. Find and click on “File Form 10F.”
6. Enter your PAN/User ID and select the relevant Assessment Year from the dropdown menu. Click on Continue.
7. Review the given instructions and click Let’s get started.
8. Enter the required details, including your name, father’s name, Section 90/90A, country of registration/residence, TIN, etc.
9. Select TRC period and address outside India.
10. Attach a copy of TRC
11. Sign the Form with a Digital Signature Certificate.
12. Preview the details and submit the form.