Income type guide

Dividend TDS

India deducts 20% TDS on dividends paid to NRIs. DTAA rates range from 5% to 15% — saving you 5-15% on every dividend received.

How it works

What happens to your dividends as an NRI

Since April 2020, dividends are taxable in the hands of shareholders. For NRIs, companies deduct 20% TDS on dividends. DTAA treaties provide lower rates ranging from 5% to 15%.

20%

Default TDS rate

Varies

DTAA rate by country

Dividends rates by country

What each country's treaty says

Sorted by savings potential. 30 countries with a DTAA benefit, 0 with the same rate.

Saudi Arabia

Article 10

Default → DTAA

20%5%

Save 15%

Malaysia

Article 10 — excellent dividend rate

Default → DTAA

20%5%

Save 15%

Hong Kong

Article 10 — excellent rate

Default → DTAA

20%5%

Save 15%

UAE

Article 10

Default → DTAA

20%10%

Save 10%

Singapore

Article 10

Default → DTAA

20%10%

Save 10%

Oman

Article 10

Default → DTAA

20%10%

Save 10%

Qatar

Article 10

Default → DTAA

20%10%

Save 10%

Germany

Article 10

Default → DTAA

20%10%

Save 10%

Netherlands

Article 10

Default → DTAA

20%10%

Save 10%

Bahrain

Article 10

Default → DTAA

20%10%

Save 10%

Kuwait

Article 10

Default → DTAA

20%10%

Save 10%

France

Article 10

Default → DTAA

20%10%

Save 10%

Ireland

Article 10

Default → DTAA

20%10%

Save 10%

Switzerland

Article 10

Default → DTAA

20%10%

Save 10%

Japan

Article 10

Default → DTAA

20%10%

Save 10%

South Africa

Article 10

Default → DTAA

20%10%

Save 10%

Kenya

Article 10

Default → DTAA

20%10%

Save 10%

Sweden

Article 10

Default → DTAA

20%10%

Save 10%

Norway

Article 10

Default → DTAA

20%10%

Save 10%

Indonesia

Article 10

Default → DTAA

20%10%

Save 10%

Nigeria

Article 10

Default → DTAA

20%12.5%

Save 7.5%

US

Article 10

Default → DTAA

20%15%

Save 5%

UK

Article 11

Default → DTAA

20%15%

Save 5%

Canada

Article 10

Default → DTAA

20%15%

Save 5%

Australia

Article 10

Default → DTAA

20%15%

Save 5%

South Korea

Article 10

Default → DTAA

20%15%

Save 5%

New Zealand

Article 10

Default → DTAA

20%15%

Save 5%

Denmark

Article 10

Default → DTAA

20%15%

Save 5%

Thailand

Article 10

Default → DTAA

20%15%

Save 5%

Philippines

Article 10

Default → DTAA

20%15%

Save 5%

Overpaying on dividends?

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Typical savings: ₹2,000 - ₹30,000/year