NRI Residential Status Calculation

ITR 171 views 2 replies

Abc Abc

Employee

27 Points Joined January 2021

I left India in Sep 2018 for employment abroad and was an NRI for FY 2018-19. My job abroad ended and I returned to India on end May 2019. I was abroad attending a funded research conference (not employment) the entire month of Aug 2019. I obtained a new job and left India for employment on Dec 1, 2019.

Although I left India for employment for 4 months, from Dec 2019 - March 2020, my cumulative days in India (including stay abroad during Apr-May and Aug) are 168 days for FY 2019-2020.

Period of Stay in India in preceding years:

FY 2018-2019 is 181 (NRI)

FY 2017-2018 is 365 (ROR)

FY 2016-2017 is 365 (ROR)

FY 2015-2016 is 366 (ROR)

FY 2014-2016 is 365 (ROR)

FY 2013-2016 is 365 (ROR)

FY 2012-2013 is 365 (ROR)

What is my residential status for FY 2019-2020? Thank you.

Replies (2)

CA. Sourav Sarkar

Chartered Accountant

24588 Points Joined November 2019

For fy 19-20 your status will be resident but not ordinarily resident

Abc Abc

Employee

27 Points Joined January 2021

Thank you for your reply. In Sec. 6, relief can be claimed by an Indian citizen leaving India for the purpose of employment, where 60 days is substituted by 182 days. Since my days in India are 168<182, won't I be an NRI?

Another source (https://www.rashminsanghvi.com/downloads/taxation/international-taxation/Residence-under-FEMA-and-Income-tax.H T M L):
iii) It is not necessary that if he leaves India for employment that should be his first departure from India. For example, a person could have gone abroad in June and July 2017 for 45 days. He comes back and then leaves India on 30^th October 2017 for employment abroad. He continues to stay abroad till 31^st March 2018. In this situation his number of days abroad will be 197. He will be a non-resident for FY 2017-18.