ASSESSEE APPOINTED BY INDIAN COMPANY
WORKING IN SHIP
RECEIVING SALARY IN DOLLAR
PLS CLARIFY HIS INCOME TAXABLE OR NOT IF HE IS RESIDENT OR NON-RESIDENT
sathiyaram (CA final - chennai) (38 Points)
09 February 2013ASSESSEE APPOINTED BY INDIAN COMPANY
WORKING IN SHIP
RECEIVING SALARY IN DOLLAR
PLS CLARIFY HIS INCOME TAXABLE OR NOT IF HE IS RESIDENT OR NON-RESIDENT
CA CS Nirmal Pagaria
(Fresher)
(90 Points)
Replied 09 February 2013
Income under the head Salaries is deemed to accrue or arise at the place where the service is rendered. In your case If employee render their services in india so he will be liable irrespective of payment of salaries in dollar. if he gives services outside india then place of accural would be outside. but he is resident he will be liable for his global income including above income. In case non resident he is not liable if rendering services outside not in india, if indian branch office there & payment also there ) If payment made directly from HO of india in dollar form hi wiil be liable for tax.
sathiyaram
(CA final - chennai)
(38 Points)
Replied 12 February 2013
| Originally posted by : Nirmal Pagaria | ||
 |
Income under the head Salaries is deemed to accrue or arise at the place where the service is rendered. In your case If employee render their services in india so he will be liable irrespective of payment of salaries in dollar. if he gives services outside india then place of accural would be outside. but he is resident he will be liable for his global income including above income. In case non resident he is not liable if rendering services outside not in india, if indian branch office there & payment also there ) If payment made directly from HO of india in dollar form hi wiil be liable for tax. |
 |
service provided outside india (ship is in outside). if he is non resident whether his income taxable because of appointed by indian company
john
(LEARNER)
(549 Points)
Replied 13 February 2013
Hi sathiyaram
As you said he is non resident so his income is non taxable in India.
Residential status
The residential status of an individual for income-tax purposes depends on the physical stay of the individual
in India. Based on the period of stay in India in a given financial year, an individual may be classified as:
Tests of residence under the act
A. An individual is a resident in India if he stays in India for:
IF He does not satisfy any of the two conditions mentioned in A above, he is not a resident.
Exceptions to the above:
B. An individual is an NOR in India if:
GST Live Certification Course (39th Batch) - April 2024 (Weekend Batch) (With Certificate)
"Live class on Python for Financial Analysis: Unlocking Efficiency in Accounting and Finance"
CAclubindia
