Many investors think that if they didn’t make a profit on their US stocks, there’s nothing to report in their tax return.
That’s a common mistake.
If you held foreign stocks at any time during the year, you may still need to disclose them in Schedule FA even if you never sold them or are sitting on a loss.
Missing this disclosure can attract a ₹10 lakh penalty under the Black Money Act.
There are a few other tax rules that investors often overlook too, including the Schedule FA reporting period and taxation of US dividends.
Know what needs to be disclosed before you file your ITR.
Read more on GlobED: Disclosure Rules for Global Investments