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Past untaxed foreign income

Others 5392 views 5 replies

SAGAR H R

3 Points Posted on 11 October 2018

What will be the taxability of past untaxed income brought to India for resident and ordinarily resident?

Replies (5)

Vemkatramaih Ragupathy

2 Points Posted on 11 October 2018

he is taxable because ROR is taxable for income accrued and arised in India or not and received in insdia or not

aradhana upadhyay

151 Points Posted on 11 October 2018

Past untaxed income brought into India is not taxable.

SAGAR H R

3 Points Posted on 11 October 2018

Can you explain the reasoning ,if any, behind making it not taxable?

aradhana upadhyay

151 Points Posted on 11 October 2018

The income earned in the previous year is taxable in the assessment year. And past untaxed profit does not form part of the previous year income, so it cannot be taxed.

Sir Iyerji

Online marketing

61 Points Posted on 15 October 2018

Lot of here ...

1. assesse was never a NRI before or not ?

2.only India resident and earned this foreign income via online /consulting/share trading in the foreign markets etc?

3. A resident with no NRE account will bring in this "past income from abroad " via TT /SWIFT in to his saving account ? (or other modes?)

4. any "large "incoming SWIFT/TT from abroad in to a domestic rupee account (with forex conversion in to rupee)may raise scrutiny from IT/ ED under FEMA

5. my guess is if the resident earned this Past foreign income with out leaving India - it is taxable at the current year (when repatriated in to the bank account.)

6. He may have to documentation -how he earned this foreign income in the past ? (foreign bank account statement/ foriegn brokerage stock market statement/ consulattion -service rendered invoice raised on a foreign company against which payment received).