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A resident earning salary from saudi

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Sivaraman A R

746 Points Posted on 09 July 2023

A person was working in Indian company From Apr to Dec 22 - Rs 9 lakh

Then he went to saudi and got salary from Jan to Mar 23 - Rs 3 lakh

Resiential status for FY 2022-23 - Resident and Ordinarily Resident

Whether this Rs 3 lakhs salary earned from Saudi is taxable in India?

Any exemption available?

Replies (2)

Quick Summary

An Indian resident who earned salary in Saudi Arabia for a portion of the financial year is asking if this income is taxable in India. As they meet the residency criteria (182 days or more), their global income is generally taxable in India. However, exemptions may apply if tax was paid in Saudi Arabia, especially if India has a Double Taxation Avoidance Agreement (DTAA) with the country.

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

121534 Points Posted on 09 July 2023

Yes.

If any tax paid in Saudi !!

Cs26kit

Mr.

142 Points Posted on 09 July 2023

Since you were residing in India for "182 days or more" in the previous financial year you will be treated as a Resident in this AY for taxation purposes & your global income for the previous FY becomes taxable as per all the rules applied to a Resident. You also get all the deductions applicable to Residents.

In addition, you may avail further deduction if you have paid tax in foreign country & if India has DTAA (Double Taxation Avoidance Agreement) with that country.