TaxTMI 
TaxTMI 
Question- What are the proposed amendment in section 194LD regarding concessional rate of withholding tax on interest payment to FII , QFIs and ECB ?
Extension of eligible period of concessional tax rate under section 194LD
28 Feb 2015 
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Concessional withholding tax rate on interest to foreign investors extended, preserving reduced treatment for specified securities and bonds.
The amendment extends the concessional withholding tax treatment for interest payable to Foreign Institutional Investors and Qualified Foreign Investors on government securities and rupee denominated corporate bonds, subject to the notified cap on the rate of interest, so that the concessional rate applies to interest payable up to 30th June, 2017; the amendment is effective from 1st June, 2015. (AI Summary)
The amendment extends the concessional withholding tax treatment for interest payable to Foreign Institutional Investors and Qualified Foreign Investors on government securities and rupee denominated corporate bonds, subject to the notified cap on the rate of interest, so that the concessional rate applies to interest payable up to 30th June, 2017; the amendment is effective from 1st June, 2015. (AI Summary)