Understanding Relief under Income Tax Sections 90, 90A, and 91

Relief under Section 90: Utilize DTAA to prevent double taxation. Relief available for taxes paid in India and abroad. Example: Mr. Ankit's relief calculated based on global income and foreign tax paid. Bilateral Relief: DTAA enables relief through exemption or tax credit methods. Income taxed in one country or relief granted in the country of residence.

Unilateral Relief: When no international agreement exists, relief provided solely by the taxpayer's home country. Ensures fairness despite absence of DTAA. Relief under Section 90A: Applies with specified associations. Same relief calculation method as Section 90. TRC required for non-residents.

Relief under Section 91: No DTAA, unilateral relief provided. Relief calculated by comparing Indian and foreign tax rates. Relief Calculation Example: Vartika's relief computed by multiplying doubly taxed income with the lower tax rate.

Resident Foreign Currency (RFC): For Returning Indians, RFC accounts can shield interest from tax for 9 years if non-resident for 2 continuous years. Plan wisely: Understand Indian taxation and plan accordingly for a smooth return.