Regaring non resident tax liability in India

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This discussion addresses the tax liability of an individual who worked for an Indian company, left for Singapore in April 2016, and returned in January 2017. Despite receiving salary and paying tax in Singapore for April-December 2016, the Indian employer deducted TDS for the entire year. The core issue is whether the individual, classified as a non-resident for tax purposes, should be taxed in India on their global income or only on the salary earned from January to March 2017 while in India. The consensus is that tax should only apply to income earned in India during the resident period, and double taxation should be avoided.

CA SRINIVAS K

CA SRINIVAS K (Querist)
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02 February 2023 Hi
Assesse has employed in the Indian company till April 2016, thereafter went to Sigapur for employment purpose of the same company and he came back on January 2017, here as per the section 6 of the Income Tax Act 1961, he is Non Resident of India.
further stating that,
>He received the salary in Singapur and paid the applicable tax in that country during April 2016 to Dec 2016,
>He also not received any salary in Indian salary account during the April 2016 to Dec 2016,
>He received salary from Jan 17 to March 17 from Indian company in Indian salary account.

As per my understanding assesse is fall under NRI status so he no need to pay the tax on income earned during the period from April 2016 to Dec 2016,
But Indian company has deduct the TDS for whole year.
Based the form 16 issued by Indian company AO has considered, assesse is the Resident of India, and he need to pay tax on global income.
Here i need to understand that, whether he need to pay tax on whole year salary or only from Jan 17 to March 17.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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03 February 2023 He needs to pay tax in India from Jan 17 To March 17.
Applicable tax has been paid in Singapore.
Double taxation unjustified.
He is non resident global income not taxable in India.

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Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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03 February 2023 Wonder, how come employer deducted TDS on total salary, which it didn't pay?
Was he on deputation by company itself?

CA SRINIVAS K

CA SRINIVAS K (Querist)
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03 February 2023 Sir kindly share me the any reference like case laws/notification/articles regarding

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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03 February 2023 See the link.

https://taxguru.in/income-tax/employee-left-india-for-the-purpose-of-employment-outside-india-non-resident-if-present-for-less-than-182-days-in-india.html

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