Rate lookup by country
ESOP/RSU Income TDS
ESOPs from an Indian employer vested while you were resident, then exercised after you became NRI: India taxes the perquisite at your **slab rate** (10-45% depending on total income, NOT a flat 30%); your home country (US / UK / Singapore) often taxes the sale gain on the same shares. Without Form 67 FTC, you pay twice. With proper cross-border planning, ESOP/RSU effective tax can drop materially.
This page gives you the rate. For the full walkthrough, read ESOPs taxed twice? How to get relief.
For UAE NRI on ESOPs/RSUs
Default at-source TDS in India: 30%. Treaty rate (after Form 10F / Form 41 + TRC): 0%. Saving = 30 percentage points.
Article 22, resident country only
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How it works
What happens to your ESOPs/RSUs as an NRI
**Exercise:** if you remain on Indian payroll at exercise, the Indian employer deducts TDS on the perquisite (FMV at exercise minus strike paid) at your slab rate via Section 192. If you've already relocated and are off Indian payroll at exercise, TDS shifts to Section 195 on the perquisite portion attributable to services rendered in India. Either way this is NOT a flat 30%: under Section 192 the rate can range from 10% (low income) to nearly 43% (top bracket plus surcharge plus cess); under Section 195 the rate follows what's applicable to the NRI on the relevant slice of Indian-source income. **Sale:** capital-gains TDS via Section 195-12.5% LTCG (held > 24 months from exercise for unlisted; > 12 months for listed under Section 112A) or 20% STCG (Section 111A for listed equity, post FA No.2 2024). Your home country often taxes the sale gain under its own rules, Form 67 (or Form 41 from FY 2026-27) lets you claim Foreign Tax Credit for the Indian tax under Rule 128 (or Rule 75 of the Income-tax Rules 2026); per CBDT Notification 100/2022, the deadline is the end of the relevant AY (31 March of the AY). US NRIs face additional Section 409A (deferred-comp non-qualified options) and ESPP-specific treatment; consult a US cross-border CA.
30%
Default TDS rate
Varies
DTAA rate by country
UAE NRI, what changes for you
Country-specific overlay on ESOPs/RSUs
Indian tax IS your only tax
UAE has no personal income tax on individual savings interest, dividends, or capital gains. So the India-side rate (after DTAA reduction) is the FULL tax bite, no further drag in your country. NRE / FCNR exempt-in-India income flows through tax-free both sides. NRO / dividend income gets reduced via DTAA where treaty caps apply (UAE 12.5% on interest; Saudi 5% on dividends; etc.), and that reduced rate is your only cost.
ESOPs/RSUs rates by country
What each country's treaty says
Sorted by savings potential. 57 countries with a DTAA benefit, 77 with the same rate.
UAE
Article 22, resident country only
Default → DTAA
30%→0%
UK
Article 23
Default → DTAA
30%→0%
Singapore
Article 23, resident country (Singapore) only
Default → DTAA
30%→0%
Australia
Article 23, resident country (Australia)
Default → DTAA
30%→0%
Oman
Article 22, resident country only
Default → DTAA
30%→0%
Saudi Arabia
Article 22, resident country only
Default → DTAA
30%→0%
Germany
Article 22, taxable only in residence state
Default → DTAA
30%→0%
Netherlands
Article 23, taxable only in residence state. Article 22 (Capital) and the Protocol IV(2) MFN clause on dividends/CG were narrowed by AO v Nestlé SA (2023).
Default → DTAA
30%→0%
Kuwait
Article 22, resident country only
Default → DTAA
30%→0%
France
Article 23, taxable only in residence state
Default → DTAA
30%→0%
Ireland
Article 22, taxable only in residence state
Default → DTAA
30%→0%
Switzerland
Article 22, taxable only in residence state
Default → DTAA
30%→0%
Malaysia
Article 22
Default → DTAA
30%→0%
Japan
Article 22, resident country (Japan)
Default → DTAA
30%→0%
South Korea
Article 22, resident country (Korea)
Default → DTAA
30%→0%
Hong Kong
Article 21, resident country (HK)
Default → DTAA
30%→0%
New Zealand
Article 22, resident country (NZ)
Default → DTAA
30%→0%
South Africa
Article 22
Default → DTAA
30%→0%
Kenya
Article 22
Default → DTAA
30%→0%
Sweden
Article 22, taxable only in residence state
Default → DTAA
30%→0%
Norway
Article 22, taxable only in residence state
Default → DTAA
30%→0%
Thailand
Article 22, resident country (Thailand)
Default → DTAA
30%→0%
Indonesia
Article 22, resident country (Indonesia)
Default → DTAA
30%→0%
Philippines
Article 22, resident country (Philippines)
Default → DTAA
30%→0%
Mauritius
Article 22. Residual income taxable only in residence state (Mauritius).
Default → DTAA
30%→0%
Portugal
Article 22: other income is taxable only in the residence state (Portugal), except lottery and gambling
Default → DTAA
30%→0%
Austria
Article 22: other income is taxable only in the residence state (Austria)
Default → DTAA
30%→0%
Israel
Article 22: other income is taxable only in the residence state (Israel), except lottery and gambling
Default → DTAA
30%→0%
Uganda
Article 22: other income is taxable only in the residence state (Uganda)
Default → DTAA
30%→0%
Nepal
Article 22: income not covered by another article is taxable only in the country of residence (Nepal)
Default → DTAA
30%→0%
Cyprus
Article 22: the old blanket source-taxation right for uncovered income was removed in the 2016 treaty. Only lottery, gambling and similar winnings stay explicitly source-taxable; everything else not named elsewhere in the treaty defaults to residence-only
Default → DTAA
30%→0%
Malta
Article 22: income not dealt with elsewhere in the treaty is taxable only in the country of residence (Malta), except lottery, gambling and similar winnings, which stay source-taxable
Default → DTAA
30%→0%
Russia
Article 22: income not dealt with elsewhere in the treaty is taxable only in the country of residence (Russia)
Default → DTAA
30%→0%
Mexico
Article 22: income not dealt with elsewhere in the treaty is taxable only in the country of residence (Mexico)
Default → DTAA
30%→0%
Taiwan
Article 22(1): income not dealt with elsewhere is taxable only in the residence territory. Unlike the US and Canada treaties, there is no general source-country override: Article 22(3) lets India tax only lotteries, crossword puzzles, races, card games and other gambling or betting income.
Default → DTAA
30%→0%
Czech Republic
Article 22(1): income not dealt with elsewhere is taxable only in Czechia. Unlike many Indian treaties, paragraph 3 keeps India's right only for lotteries, crossword puzzles, races, card games, gambling and betting, so those winnings stay taxable in India at the domestic rate. Article 22(2) excludes income tied to an Indian permanent establishment or fixed base.
Default → DTAA
30%→0%
Romania
Article 22 (Other Income). Paragraph 1 makes income not dealt with elsewhere taxable only in the state of residence. Unlike the US and Canada treaties, there is no general source-state paragraph: paragraph 3 lets India tax only lotteries, crossword puzzles, races, card games and other gambling or betting income, which stays fully taxable in India.
Default → DTAA
30%→0%
Hungary
Article 22(1): income not covered by another article is taxable only in Hungary. Unlike the US and Canada treaties there is no general paragraph letting India tax Indian-source other income; Article 22(3) carves out only lotteries, races, card games, gambling and betting, which India may still tax.
Default → DTAA
30%→0%
Georgia
Article 22(1): income not dealt with elsewhere in the treaty is taxable only in the country of residence (Georgia). There is no general source-country paragraph: Article 22(3) lets India tax only lotteries, crossword puzzles, races, card games, gambling and betting, which stay taxable in India at the domestic rate. Article 22(2) excludes income tied to an Indian permanent establishment or fixed base
Default → DTAA
30%→0%
Estonia
Article 22 (Other Income). Paragraph 1 makes income not covered by other articles taxable only in the residence state. Unlike many Indian treaties, paragraph 3 does not give India a general right to tax Indian-source other income: it covers only lotteries, crossword puzzles, races, card games, gambling and betting. Those winnings stay taxable in India; other residual income is taxable only in Estonia.
Default → DTAA
30%→0%
Albania
Article 22 (Other income). Paragraph 1 makes income not dealt with elsewhere taxable only in the residence state. Paragraph 3 keeps India's right to tax only lottery, crossword, race, card-game, gambling and betting winnings from Indian sources, so those stay taxable in India at the domestic rate.
Default → DTAA
30%→0%
Serbia
Article 23(1), not 22 (Article 22 here covers professors and researchers): income not dealt with elsewhere is taxable only in the residence state. There is no general paragraph letting India tax Indian-source other income; Article 23(3) carves out only lotteries, crossword puzzles, races, card games, gambling and betting, which India may still tax.
Default → DTAA
30%→0%
Kyrgyzstan
Article 22(1): income not dealt with elsewhere is taxable only in the residence state. Unusually, paragraph 3 does NOT give India a general right to tax Indian-source other income; it covers only lotteries, crossword puzzles, races, card games and other gambling or betting, which India may still tax
Default → DTAA
30%→0%
Iceland
Article 22(1): income not covered by another article is taxable only in Iceland. There is no general paragraph letting India tax Indian-source other income; Article 22(3) carves out only lotteries, crossword puzzles, races, card games, gambling and betting, which India may still tax.
Default → DTAA
30%→0%
Latvia
Article 22 (Other Income). Paragraph 1 makes income not covered by other articles taxable only in the residence state. Paragraph 3 does not give India a general right to tax Indian-source other income: it covers only winnings from lotteries, crossword puzzles, races, card games, gambling and betting. Those winnings stay taxable in India; other residual income is taxable only in Latvia.
Default → DTAA
30%→0%
Slovenia
Article 22(1): income not dealt with elsewhere is taxable only in the residence state, wherever it arises. Article 22(3) lets India tax only lotteries, crossword puzzles, races, card games and other games of any sort, gambling and betting. Other Indian-source residual income is therefore taxable only in Slovenia.
Default → DTAA
30%→0%
Croatia
Article 22(1): other income of a Croatian resident is taxable only in Croatia. Unlike most Indian treaties, there is no general source-state paragraph: Article 22(3) lets India tax only lottery, crossword, race, card-game, gambling and betting winnings arising in India, which stay at the domestic rate.
Default → DTAA
30%→0%
North Macedonia
Article 22 (Other income). Paragraph 1 makes income not dealt with elsewhere taxable only in the residence state. There is no general paragraph letting India tax Indian-source other income; Article 22(3) keeps India's right only over lotteries, crossword puzzles, races, card games, gambling and betting.
Default → DTAA
30%→0%
Montenegro
Article 23(1), not 22 (Article 22 here covers professors and researchers): income not dealt with elsewhere is taxable only in the residence state. There is no general paragraph letting India tax Indian-source other income; Article 23(3) carves out only lotteries, crossword puzzles, races, card games and other games of any sort, gambling and betting, which India may still tax.
Default → DTAA
30%→0%
Myanmar
Article 22(1): income not dealt with elsewhere in the treaty is taxable only in the country of residence, so India cannot tax a Myanmar resident's Indian-source other income. The one exception is Article 22(3): lottery winnings, winnings from games and similar gains arising in India may still be taxed in India
Default → DTAA
30%→0%
Tajikistan
Article 22(1): income not dealt with elsewhere is taxable only in the residence state. Paragraph 3 does NOT give India a general right to tax Indian-source other income. It covers only lotteries, crossword puzzles, races, card games and other gambling or betting, which India may still tax
Default → DTAA
30%→0%
Morocco
Article 22(1): income not dealt with elsewhere is taxable only in the residence country, and unlike many Indian treaties there is no paragraph letting India tax other income arising in India. The one exception is Article 22(3): lottery, crossword, race, card game, gambling and betting winnings from Indian sources stay taxable in India
Default → DTAA
30%→0%
Jordan
Article 22(1): income not dealt with elsewhere in the treaty is taxable only in the residence state, wherever it arises. There is no paragraph letting India tax Indian-source other income in general. Article 22(3) keeps India's right only over lotteries, crossword puzzles, races, card games, gambling and betting
Default → DTAA
30%→0%
Mozambique
Article 22(1): income not dealt with elsewhere in the treaty is taxable only in the residence state, wherever it arises. There is no general paragraph letting India tax Indian-source other income. Article 22(3) keeps India's right only over lotteries, crossword puzzles, races, card games, gambling and betting, which stay taxable in India at the domestic rate.
Default → DTAA
30%→0%
Ethiopia
Article 22(1) (Other income): income not covered by other articles is taxable only in the residence country, Ethiopia. Unlike most Indian treaties, India keeps no general right to tax its own-source other income. Article 22(3) lets India tax only Indian winnings from lotteries, crossword puzzles, races, card games, gambling and betting, which stay taxable at the domestic rate
Default → DTAA
30%→0%
Syria
Article 22(1): income not dealt with elsewhere in the treaty is taxable only in the residence state, wherever it arises. There is no paragraph letting India tax Indian-source other income in general. Article 22(3) keeps India's right only over lotteries, crossword puzzles, races, card games, gambling and betting. Article 22(2) also switches the residence-only rule off where the income is connected with a permanent establishment or fixed base you have in India; then the business articles (7 or 14) apply
Default → DTAA
30%→0%
Sudan
Article 22(1): income not dealt with elsewhere in the treaty is taxable only in the country of residence. The only exception for Indian-source income is Article 22(3): winnings from lotteries, crossword puzzles, races, card games and other gambling or betting may still be taxed in India.
Default → DTAA
30%→0%
Same rate under DTAA (77 countries)
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