If you are a resident of the United States and have worked in India, you may be wondering if there is a Totalization Agreement between the two countries. A Totalization Agreement is a pact between two countries to eliminate double taxation for citizens who work in both countries. It allows workers to combine their earnings to qualify for Social Security benefits and avoid paying social security taxes in two countries.

Unfortunately, the United States does not have a Totalization Agreement with India. This means that if you are an American citizen who has worked in India, you will be subject to social security taxes in both countries. However, there are a few ways to minimize the impact of this double taxation.

Firstly, you can apply for a Foreign Tax Credit (FTC) from the Internal Revenue Service (IRS). The FTC allows you to claim a credit for the taxes you paid to India on your US tax return. This reduces the amount of US taxes you owe and helps avoid double-taxation.

Secondly, you can explore the benefits of the Foreign Earned Income Exclusion (FEIE). This exclusion allows you to exclude a certain amount of foreign income from your US taxes. In 2021, the maximum amount of foreign earned income that can be excluded is $108,700. This exclusion can be incredibly helpful when combating double taxation.

Lastly, it is important to work with a tax professional who has experience with international taxation. They can help you navigate the complex tax laws and ensure that you are not paying more taxes than necessary.

In conclusion, the US does not have a Totalization Agreement with India, which can cause double taxation for American citizens who work in India. However, there are ways to minimize the impact of this double taxation, such as applying for the Foreign Tax Credit, using the Foreign Earned Income Exclusion, and working with a tax professional. By utilizing these strategies, you can reduce your tax liability and avoid double taxation.