Foreign Dividend Income Taxation

Nikhil6828 Oct, 2025Business

Foreign Dividend Income Taxation involves taxing dividends earned by Indian residents from foreign companies under the head “Income from Other Sources.” Such income is fully taxable in India, though relief can be claimed under Double Taxation Avoidance Agreements (DTAAs) for taxes paid abroad. Accurate reporting and documentation are essential to ensure compliance and avoid penalties. SKMC Global assists businesses and investors in efficiently managing foreign dividend taxation, DTAA interpretations, and foreign tax credit claims for smooth cross-border compliance.