Finance Bill, 2023 was presented by the Hon'ble Finance
Minister (FM), Nirmala Sitharaman on 1 February 2023. While moving
the Bill for approval by the Lok Sabha on 24 March 2023, the FM
introduced amendments to Finance Bill 2023. The said 'Amended
Bill' has been passed by the Lok Sabha on 24 March 2023. The
Bill is still awaiting assent from the President. The key
amendments to the Finance Bill, 2023 are captured below:
Increase in the Tax Rate on Royalties/Fees for Technical
Services
Non-residents/foreign companies earning Royalties/Fees for
Technical Services (FTS) from India are currently taxed at 10%
under the Income-tax Act, 1961 (ITA). The said rate is now proposed
to increase to 20%.
