New Delhi, Feb. 26 -- -Name withheld on request

Assuming that your total income chargeable to tax in India exceeds the basic exemption limit, the global income taxation principle applies in your case. A resident individual is taxable in India on worldwide income, which includes dividend income from foreign shares. The fact that tax on dividends may have been withheld in the US does not render such income exempt in India. The dividend remains taxable under the Income-tax Act, 1961, and the appropriate course is to report it in the return of income and claim foreign tax credit in accordance with Rule 128 of the Income-tax Rules, 1962 and the applicable tax treaty, if any.

With regard to the Rs.20 lakh threshold under the Black Money (Undi...