PDA

View Full Version : Employer deducting dual taxes


sidd4939
Mar 10, 2009, 02:18 PM
Hi,

I am on H1-B but on a short assignment(Jan09-March09) and I would be filling my return in 2010.

My employer from day one is deducting my Indian salary component from my US salary and crediting to India account. However he is deducting Income tax from it also he deducts (federal tax/ social securty/medicare form combined US salary)


Ex: US salary $X
Indian salary Rs Y

US tax withheld on complete X, later out of $X, Y is credied as Indian salary and again taxed


Is it correct, when I inquired they said, later you show the foreign tax certificate and get refund. Is it possible?

US tax Jan-Dec
India : April-March

How will I show my foreign tax receipt.

Please suggest!!

Regards,
SId

MukatA
Mar 10, 2009, 10:42 PM
You will report your U.S. income on the U.S. tax return and pay the U.S. taxes.
You will also report same income on your India tax return. For India taxes mytaxes - Index (http://mytaxes.in)