CBDT vide Notification No. 25/2022 dated 04.04.2022 notified ‘Canada’, ‘United Kingdom of Great Britain & Northern Ireland’ and ‘United States of America’ as notified countries for the purpose of section 89A of the Income-tax Act, 1961 (‘Act’).
Finance Act, 2021 introduced section 89A to provide relief from double taxation to non-resident Indians (NRIs) on money accrued in foreign retirement accounts maintained in a notified country.
Section 89A provides that the income of a specified person from ‘specified account’ shall be taxed in such manner and for such year as may be provided by rules and also defines the expressions “specified person”, “specified account” and “notified country”. It provides relief from taxation on income from a ‘retirement benefit account’ maintained in a notified country.
In this context, CBDT has notified ‘Canada’, ‘United Kingdom of Great Britain & Northern Ireland’ and ‘United States of America’ as notified countries for Section 89A of the Act.
CBDT has also notified Rule 21AAA and Form 10-EE to claim the relief under section 89A by an NRI in respect of income from foreign retirement funds vide Notification No. 24/2022 dated 04.04.2022.
Read the full text of Notification No. 25/2022 dated 04.04.2022 on Notified Country under section 89A
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
NOTIFICATION
New Delhi, the 4th April, 2022
S.O. 1568(E).—In exercise of the powers conferred by section 89A of the Income-tax Act, 1961 (43 of 1961), the Central Government herby notifies the countries mentioned in column (2) of the Table given below as a “notified country” for the purposes of the said section, namely:
TABLE
2. This notification shall come into force from the date of its publication in the Official Gazette.
[Notification No. 25/2022/F. No. 370142/7/2022-TPL]
NEHA SAHAY, Under Secy. (Tax Policy and Legislation Division)
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