Form 27Q: TDS on payments to NRI

What is Form 27Q?

Form 27Q is a TDS Return/ Statement containing details of TDS deducted on payments other than salary made to NRI. Form 27Q is required to submitted on quarterly basis on or before the due date. As per Budget 2016, Non-resident Indians without PAN is not subject to higher rate of TDS. Hence, higher rate of TDS will not apply to NRIs without PAN subject to prescribed conditions. Form 27Q contains details of payments made and TDS deducted on payments made to NRI by the deductor.

What are the payments covered under Form 27Q?

Every deductor who makes payment of certain nature to NRI is required to deduct TDS from such payment at prescribed rate. Following are the nature of payments covered in Form 27Q:

  • Payments to non-resident Sportsmen/Sport Associations.
  • Other sums payable to Non-Residents.
  • Income in respect of Units of Non-Residents.
  • Payments in respect of Units to an Offshore Fund.
  • Income from Foreign Currency Bonds or Shares of Indian Company Payable to Non-Resident.
  • Income of Foreign institutional investors from securities.
  • Income by way of interest from Infrastructure Debt fund.
  • Income by way of interest from Indian company engaged in certain Business.
  • Income by way of interest on certain bonds and Government Securities.
  • Payment of accumulated balance of provident fund, taxable in the hands of the employee.
  • Investment fund paying an income to a unit holder.
  • Income in respect of investment in securitization trust.

What are the details required to file this Form?

Following details are required to file Form 27EQ:

Entity Details
Deductor TAN, PAN, Name, Address and Contact Details.
Responsible Person Name, PAN, Address and contact Details
Challan Challan serial number, BSR Code, TDS, Surcharge and Education Cess paid
Deduction Deductee Name, PAN, Amount paid/ credited, TDS deducted and deposited.

In case of non-availability of PAN with NRIs, additional details of NRI such as Tax Identification Number, Permanent Address, Country of residence, Email and Contact details are required to be furnished in Form 27Q.

What is the due date to file Form 27Q?

Due date for Payment of TDS deducted on salary for every month is 7th of the next month. For the month of March, it is 30th April of the next year.

Due date for filing of Form 27Q for every quarter is as follows:

Quarter Period The due date for filing Form 26Q
Q1 1st April – 30th June On or before 31st July
Q2 1st July – 30th September On or before 31st October
Q3 1st October – 31st December On or before 31st January
Q4 1st January – 31st March On or before 31st May


What is Form 27Q?

Form 27Q is the statement of the return for the non-salary payments done to an NRI. The Indian buyer is required to submit the form 27Q at every quarter before the due date. As per the Financial Budget of 2016, on-Resident Indians who do not have a PAN number are not supposed to pay a higher rate of TDS.

What is form 27EQ?

Form 27EQ is a quarterly statement that mentions details and information regarding tax collected at source at the end of every quarter as per Section 206C of the Income Tax Act 1961.

Who is eligible for TDS?

Any person making specified payments mentioned under the Income Tax Act are required to deduct TDS at the time of making such a specified payment. But no TDS has to deducted if the person making the payment is an individual or HUF whose books are not required to be audited.

Got Questions? Ask Away!

  1. Hey @HarshitShah

    Yes, in case you have not deposited TDS by the due date, the following penalties might be applicable:

    • Interest (if you do not deposit the TDS amount in time)

    • Late filing fee (if you do not file by the deadline)

    • Penalty (if TDS is not filed within one year of the due date)

    Hope this helps!

  2. Hey @HarishMehta

    Form 24, 27 and 27E are forms to file TDS/TCS returns:

    • Form 24 is to file TDS return detailing Salary Payments

    • Form 27 is to file TDS return detailing Foreign or NRI payment other than salary

    • Form 27E is to file TCS returns

    Hope this helps!

  3. Hi @KrishnaAgarwal

  4. Hey @taxpayer, you can file your Income-tax return can claim the tax refund for any excess tax credits available to you.
    If your total taxable income is below the basic exemption limit then you won’t have any tax payable.
    You can check the total tax credits available to you in your Form 26AS

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