Form 27Q — NRI TDS. Correctly Deducted. Properly Filed.
Making payments to non-residents? TDS under Section 195 and Form 27Q quarterly returns require precise rate determination, DTAA analysis, and timely filing. We manage it end to end.
Contact UsForm 27Q is the quarterly TDS return required for reporting TDS deducted on payments made to non-residents (other than salary). It covers a wide range of payments — interest, dividend, royalty, fees for technical services, capital gains from property sale, and other income — where TDS is required to be deducted under Section 195 and related provisions of the Income Tax Act, 1961.
The determination of the correct TDS rate on NRI payments requires careful analysis: the applicable rate under the Income Tax Act, the rate under the relevant Double Taxation Avoidance Agreement (DTAA), and the lower of the two applies. The non-resident may also obtain a lower deduction or nil deduction certificate under Section 197 or file Form 15CA/15CB before the remittance, depending on the nature and amount of the payment.
Errors in NRI TDS compliance are costly — deducting at the wrong rate, failing to obtain the required Form 15CB certificate, or missing Form 27Q filing deadlines can result in the remittance being disallowed as a deduction in the payer’s accounts and attract significant penalties. We handle the full compliance chain from rate determination to return filing.
Our Form 27Q & NRI TDS Services
TDS Rate Determination
Analysis of the applicable TDS rate under the Income Tax Act and the relevant DTAA, applying the more beneficial rate for the non-resident.
Form 15CA/15CB Compliance
Preparation of Form 15CA (payer’s declaration) and Form 15CB (CA certificate) required before remittance of certain payments to non-residents.
Section 197 Certificate Management
Assistance for non-residents in obtaining lower deduction certificates and correct application of lower rates in the return.
Form 27Q Return Filing
Quarterly preparation and timely filing of Form 27Q — the TDS return for non-resident payments — with accurate deductee and challan data.
TDS Certificate (Form 16A) Issuance
Generation of Form 16A TDS certificates from TRACES for the non-resident deductee after return filing.
Challan Reconciliation
Matching of TDS challans against OLTAS records and reconciliation with the amounts reported in Form 27Q.
Correction Statement Filing
Preparation and filing of correction statements for errors in previously filed Form 27Q returns.
FEMA & RBI Compliance Coordination
Coordination of TDS compliance with FEMA and RBI approvals applicable to the underlying cross-border payment.
Our Process
Payment Nature Analysis
We analyse the nature of the payment to the non-resident to determine the applicable TDS provision and rate under domestic law and DTAA.
Form 15CA/15CB Preparation
Where required, Form 15CB is certified by a CA and Form 15CA is filed on the e-filing portal before remittance.
TDS Deduction & Deposit
TDS is deducted at the determined rate and deposited via the correct challan within the prescribed deadline.
Form 27Q Return Filing
The quarterly TDS return is prepared with deductee and challan data and filed within the due date.
Form 16A Issuance
TDS certificates are generated from TRACES and issued to the non-resident deductee after the return is accepted.
Why It Matters
Frequently Asked Questions
Making payments to non-residents?
DTAA analysis, Form 15CB certification, Form 27Q return, and Form 16A issuance — we handle the complete NRI TDS compliance chain.
