Can you please tell about encashing adsense cheque in India?

Informations Needed

[go4ram01]

Hi Friends! ( Indian Friends who are using Adsense Program )

Hi. My adsense amount is more then 100$ as on April 30.

1. When can I expect my cheque?

2. How can I encash the cheque? Can I deposit the cheque to any bank? I am having citibank , SBI , Canara Bank Accounts. Which bank is fast enough to process the foreign cheques?

3. Should I pay any tax?

4. Is there any legal problems/procedures? in receiving adsense cheques in india?

Please inform me. Thank You

go4ram

[vnsampat]

Replies below each question -

When can I expect my cheque?

A -- 15 days from the date of posting

How can I encash the cheque? Can I deposit the cheque to any bank? I am having citibank , SBI , Canara Bank Accounts. Which bank is fast enough to process the foreign cheques?

A -- Any of the above banks should be able to help you. However Citibank should be able to do it for you in 3 weeks, while the other 2 would take around 4 weeks.

Should I pay any tax?

A -- Yes, same taxes as your local income apply. The sunset clause which exempted some part of forex earnings has expired now.

Is there any legal problems/procedures? in receiving adsense cheques in india?

A -- No.

[go4ram01]

Thank You VNSAMPATH sir,

Regarding the local tax

How they come to know that I am earning and I should pay this much tax fot that. Please don't think I am a politician trying to cheat indian govt by not paying tax. I am ready to pay the tax. But how the TAX people will come to know about my earning and ask me the tax.

Or while encashing itself will they take tax?

Further : Some people informed that Citibank Takes more then normal charges ( like 20% of the cheque amount ) and will try to cheat as much as they can. Is it true?

Which one is more believable? Indian Govt Bank or International Pvt Bank?

THANKS FOR YOUR KIND HELP AND TIME.

[Go2]

But how the TAX people will come to know about my earning and ask me the tax.

In general, and without knowing any specifics for India, they won't know about it unless you tell them. It's up to you and your conscience to decide whether they should be informed.

It may be a different case though if are running a business and you deposit the check to your business checking account. Then the deposit will show up on your bank statement and it will consequently be included in your accounting. That means that your accountant will know about the check, and most likely he would consider that transaction to be an income which must be included in your tax statement.

[go4ram01]

IS THERE ANY MAXIMUM CHEQUE AMOUNT WHICH WE CAN DEPOSIT WITHOUT ANY PROBLEMS?

While depositing should we tell/write the source of income? Should I give the site details?

[whizkiddo]

u r required to give the details of how you earned the cheque (to be written behind the cheque itself in 3-4 words eg: advertising revenue etc) when you deposit a foreign currency cheque in india.