Non-residents not having PAN Cards can now claim lower TDS by filing Form 10F manually. However, the partial relief from filing Form 10F electronically will be available only till March 2023. In a relief to Non-Resident taxpayers, the Central Board of Direct Taxes (CBDT) has allowed non-resident taxpayers not having Permanent Account Number (PAN) to file Form 10F manually till March 2023.
Non-residents are required to submit Form 10F to claim the benefit of lower Tax Deducted at Source (TDS). However, non-residents not having were facing problems in filing Form 10F. The latest decision of the CBDT is expected to ease their compliance burden and enable them to claim a lower TDS rate.
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In a notification dated 12th December 2022, the CBDT said, “On consideration of the practical challenge being faced by non-resident (NR) taxpayers not having PAN in making compliance… and with a view to mitigate genuine hardship to such taxpayers, it has been decided by the Competent Authority that such category of Nonresident taxpayers who are not having PAN and not required to have PAN as per relevant provisions of the Income-tax Act,1961 read with Income-tax Rules, 1962, are exempted from mandatory electronic filing of Form 10F till 31st March 2023.”
“For the sake of clarity, it is reiterated that such category of taxpayers may make statutory compliance of filing Form 10F till 31’t March 2023 in manual form as was being done prior to issuance of the DGIT(Systems) Notification No. 3 of 2022,” it added.
CBDT Notification
Last Date to File Form 10F without PAN
The last date to file From 10F manually without PAN is March 31, 2023. Non-residents would have to file Form 10F electronically from April 1, 2023.
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Electronic filing made mandatory in July
In July 2022, CBDT made it mandatory for non-resident taxpayers to file Form 10F electronically to claim the benefit of lower TDS. However, such taxpayers were facing problems in the electronic filing of Form 10F as the income tax portal did not allow a taxpayer who does not have a PAN to file Form 10F.
