DTAA benefit for NRI MF investors

Tue, 12 May 2026 00:00:00 +0000

DTAA benefit for NRI mutual fund investors allows Non-Resident Indians and Persons of Indian Origin (PIOs) to claim relief from Indian income tax (or a reduced TDS rate) on capital gains and IDCW income from Indian mutual funds, where India’s Double Taxation Avoidance Agreement (DTAA) with the investor’s country of residence provides for exclusive taxation rights or a reduced rate. Without invoking DTAA, the NRI is subject to TDS under Section 195 at standard rates. By furnishing a Tax Residency Certificate (TRC) and, where required, Form 10F, the investor can direct the AMC to apply the DTAA rate, potentially reducing or eliminating TDS on the Indian mutual fund investment.

Form 10F on WebNotes

DTAA benefit for NRI MF investors