Residential status

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Pratik Kambli (Querist)
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06 July 2013 If Mr.SRK leaves India for shooting in foreign country.. can we treat him as he left India for employment purpose which is an exception for 2nd Condition???

CA. Anuj Gupta

CA. Anuj Gupta (Expert)
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07 July 2013 Yes.......provided the shooting is being financed/paid by the foreign country personnel.

Anuj
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Maninder Jain

Maninder Jain (Expert)
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08 July 2013 While reading a law we have to contrue a law so that each word can be gien effect to.

The key word here is: "left for employment"

Now can you say "there exist employer and employee relationship between SRK and film production company" I dont think.

I also not able to understand Mr Anuj Gupta reply. Is it backed by any law or his own understanding.

Pratik Kambli

Pratik Kambli (Querist)
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10 July 2013 Maninder sir, employment includes Job and Business both for this purpose..

i hav one more doubt..

Now Virat Kohli has left India to play cricket..
Is this an Exception for 2nd condition???

Aashok Kumar Sharma

Aashok Kumar Sharma (Expert)
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21 July 2025 Great question — let's break it down in the context of Section 6 of the Income Tax Act, 1961, which deals with residential status.

🔍 Background on Section 6 (1)
A person is Resident in India if:

Stayed ≥ 182 days in India in the previous year, or

Stayed ≥ 60 days in the previous year AND 365 days in the last 4 years

BUT: There’s a relaxation to the 2nd condition (60 + 365 rule) for:

(a) An Indian citizen leaving India for the purposes of employment outside India, or
(b) An Indian citizen who leaves India as a crew member of an Indian ship.

In those cases, only the 182-day condition applies — the 60 + 365 rule doesn’t.

🤔 Now, Does SRK or Virat Kohli Qualify as "Leaving for Employment"?
🔹 Case 1: SRK goes abroad for a film shoot
If he's contracted by a foreign production house and receives income abroad, it may qualify as employment, if there is a clear employer-employee or contractor-client relationship.

BUT typically, film actors are not “employees” — they act under contractual agreements, not as salaried staff.

So, in most cases, unless he is formally employed by a foreign entity, SRK leaving India for a film shoot is not “leaving India for employment” under the meaning of the exception.

✅ Conclusion: SRK is unlikely to qualify under the employment exception unless the arrangement very clearly resembles employment.

🔹 Case 2: Virat Kohli leaves India to play cricket
If he is playing for a foreign league (like IPL, Big Bash, County Cricket) under a contract, again it is more of a contractual business/professional engagement, not formal employment.

However, if he were employed full-time by a foreign cricket board, with a fixed salary and employment terms, the exception might apply — but this is rare.

✅ Conclusion: Virat Kohli playing abroad for a match/league likely doesn't fall under “employment”, so the 60-day + 365 rule still applies to determine residency.

⚖️ Legal Interpretation
The word "employment" in this context is interpreted narrowly, meaning:

An employer-employee relationship, not just a business or professional engagement

Supported by CBDT Circulars and case law (like ITO v. Suresh Nanda, where contractual services were not treated as employment for residential status purposes)

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