Query regarding nri status (need help)

Tax queries 134 views 1 replies

I'm reaching out to you on a Tax clarification to understand NRI Status (60-182 days clause). I am planning to return back to India this month (Feb 2019) and join our India branch office.

Context

  • I have been working in Singapore this financial year so far (01-Apr-2018 - Till date i.e., 09-Feb-2019) and came here in March 2016 on employment.
  • I have stayed close to 45days during this financial year in India (45days due to personal visits).
  • I will earn in India for the remaining days (around 50days and my effective stay would be around 95Days)
  • Singapore financial year is from Jan'18 to Dec'18 and i will be filing taxes for it.

Note: The NRI status clause involving 60-182 days is confusing and your inputs on this will be very helpful.

Question

1. If i return back this month to India and join my India branch office, will i be taxed for my Singapore earnings for financial year 2018-19 ?

Thanks,

Replies (1)

Sec.6 of IT act

For the purposes of this Act,—

(1)  An individual is said to be resident in India in any previous year, if he—

(a)  is in India in that year for a period or periods amounting in all to one hundred and eighty-two days or more ; or

(b)  [***]

(c)  having within the four years preceding that year been in India for a period or periods amounting in all to three hundred and sixty-five days or more, is in India for a period or periods amounting in all to sixty days or more in that year.

Explanation. 1—In the case of an individual,—

(a)  being a citizen of India, who leaves India in any previous year as a member of the crew of an Indian ship as defined in clause (18) of section 3 of the Merchant Shipping Act, 1958 (44 of 1958), or for the purposes of employment outside India, the provisions of sub-clause (c) shall apply in relation to that year as if for the words "sixty days", occurring therein, the words "one hundred and eighty-two days" had been substituted ;

Check it its applicable in your case.

If yes, you will be treated as NRI for FY 2018-19.

 


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