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Taxable income

(Guest)

I live in Tokyo. Earlier I worked as an Assistant Professor in a government university in adhoc position and drew full salary until 30 September 2013. Then I was unemployed from 1 October to 14th October and remain lived in India. I moved to Tokyo to accept a fellowship offered by Government of Japan which is non-taxable starting from 15 October 2013. So, could someone tell me whether do I need to submit income tax returns for 2013-14 financial years? In case if I need to submit income tax returns, since it is already late, may I know the procedure involved?

Note: I will continue to stay in Japan until October 2015 as of now.

Thanks in advance :)

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Sriram (CMA Final) (178 Points)
Replied 28 June 2014

If this is the first time you went abroad then Yes, you have to file your income tax return for the FY 2013-14(provided your salary received exceeds basic limit) because you stayed in India more than 182 days and other conditions also satisfy. but if you were also before 01.04.2013 in abroad then also you have to file your income tax return depending on your Residential Status.

due date for filing of ITR for FY 2013-14 is 31st July 2014.

https://incometaxindiaefiling.gov.in/

(Guest)

Dear Mr. Sriram,

Thanks for sharing the information. So, I am suppose to submit tax returns. But is it only for the time I spent or should I also show my income which I have received in the last financial year from October 2013 to March 2014 in Japan in the form of fellowship which is not taxable? Could you please guide me?

Niral Gangar (Management Consulting Investment Advisory CA Practice) (100 Points)
Replied 28 June 2014

You are a resident in India and your tax status would be resident & ordinarily Resident in India. So all Income whether Indian or foreign is taxable in your hands. But due to applicability of Double Taxation Avoidance Agreement between India & Japan Income earned in Japan which is exempt is also not taxable in India

(Guest)

Dear Mr. Gangar,

Thanks for clarifying my doubt. I think I have one last query before I am clear about the total procedure. Should I mention about my Japanese non-taxable Income in the income tax efilling?

Thanks

Niral Gangar (Management Consulting Investment Advisory CA Practice) (100 Points)
Replied 28 June 2014

Though there is no need. You can mention it under exempt income to be doubly sure but in case your income of tokyo is more than 5000/- which I presume would be you will need to file ITR 2 & not ITR 1 if you wish to mention this as exempt income.

(Guest)

Thanks for all your help. I will immediately get Form 16 from my ex employer and fill the form. I remember last year I did it through an agent. I hope to do it this year on my own using e-filling. I may get back to you if I have any other queries, during the process.

Thanks for all your help.

Niral Gangar (Management Consulting Investment Advisory CA Practice) (100 Points)
Replied 28 June 2014

Dear Mr. Ramakrishna,

If you liked our post request you to click on Thank User below our name. This improves our standing on the website. In case of further help you can get in touch with me on niral_gangar @ hotmail.com or 9833256150.

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