My son is working is an MNC posted in Bangalore. Now the company has posted him in Singapore by giving him fresh appointment. He will join the new job in Singapore by the end of October or November, 2017 in the same company. My query is what will be his tax liability in India and Singapore. Please also clarify whether dual taxation will be applicable or not ?
Your son would be liable to pay income tax on his salary income for the financial year 2017-18 including income earned by him for the months of October/November 2017 to March 2018 received in Singapore. This is on account of the fact that your son would be resident in India for the financial year 2017-18. In case he becomes liable to pay tax in Singapore on his salary earned in that country, the amount of tax paid by him in Singapore can be claimed as a relief against the total tax payable in India by your son in respect of his income for the assessment year 2018-19 (financial year 2017-18). The relief is allowed only in respect of the tax payable on the income which is doubly taxed.
Source : The Tribune/16.10.2017