India issues clarification on withholding tax benefits for foreign investors

MUMBAI Tue May 21, 2013 2:58pm IST

Rupee notes of different denominations are seen in this picture illustration taken in Mumbai April 30, 2012. REUTERS/Vivek Prakash/Files

Rupee notes of different denominations are seen in this picture illustration taken in Mumbai April 30, 2012.

Credit: Reuters/Vivek Prakash/Files

Related Topics

MUMBAI (Reuters) - Foreign investors will be eligible to benefit from lower withholding taxes for interest income accrued between June 1, 2013 and May 31, 2015 regardless of when the debt was bought, the Finance Ministry said in a notice on Tuesday.

Last month the government had cut tax rates for foreign investors on interest income from government and corporate debt in the above period, but some investors had raised doubts about whether the benefits would apply only to debt bought during that timeframe.

The ministry also said foreign investors would not have to obtain a tax identity card known as the Permanent Account Number (PAN) to benefit from reduced withholding tax on long-term infrastructure bonds.

(Reporting by Archana Narayanan and Subhadip Sircar)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Drug Pricing

REUTERS SHOWCASE

Modi Speaks

Modi Speaks

PM Modi says al Qaeda will fail in India - CNN.  Full Article 

Alibaba Listing

Alibaba Listing

Alibaba surges on massive demand in trading debut  Full Article 

Importing Rice

Importing Rice

Top rice exporter India importing over 100,000 T on temporary supply squeeze.  Full Article 

GSK Fined

GSK Fined

China hands drugmaker GSK record $489 mln fine, sentences executives.  Full Article 

HMT in Demand

HMT in Demand

Fans rush to HMT as watchmaker marks time.  Full Article 

Apple Not Cool?

Apple Not Cool?

Some consumers say Apple is losing its "cool" factor  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage