Nri status

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C Chatterjee (Querist)

04 November 2012 I work for a software company in India. My company sent me to UK for an onsite deputation on July 2011. I returned India on April 2012. Therefore, I was outside India for more than 182 days in the last financial year. Could you please let me know if I can consider that my status was NRI in the last financial year.Someone told me that as I stayed more than 60 days in India, my status cannot be NRI and the rule of 182 days do not apply for deputation (as I am not taking any new employment). Could you please clarify?

Guest

Guest (Expert)

04 November 2012 A person is said to be “resident” in India in any previous year if he

a.is in India in that year for an aggregate period of 182 days or more;
or
b.having within the four years preceding that year been in India for a period of 365 days or more, AND
is in India in that year for an aggregate period of 60 days or more

SO IF YOU ARE IN INDIA FOR 365 DAYS OR MORE THAN THAT IN PRECCEDING 4 YEARS THAN YOUR RESIDENT FOR INCOME TAX PURPOSE

C Chatterjee

C Chatterjee (Querist)

04 November 2012 Hi Vivek,
Thank you very much for your reply.

As far as I know the criteria of 60 days in clause (b) is replaced by 182 days if the purpose of going abroad is employment. Now my question is if I go abroad on deputation, will the rule of 182 days be applied in clause b.

In case of deputation the following things happen:

1) I do not change my company, only the location changes.
2) However, I do not get any salary in India

Please advise.
Thanks

Amol S Joglekar

Amol S Joglekar (Expert)

04 November 2012 Let us not mix the HR words with Income Tax words. On site, off site, deputation, benchmark,..... these are all HR words. These words have no suitable place in income tax. The simpe question is "going abroad for employment"..... the answer is YES. There are only 2 categories in income tax... employment versus business. You fall in the category of employment. So the rule of 182 is applicable to you... if you are going for the first time....

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