Status NRI or resident indian

[Asked by Guest]

Mr Y is employed by in Firm registered in India. He is sent for project work abroad in Europe for a period of 190 days during the current fiscal year.

1. Mr Y is an indian citizen and holds indian passport

2. He continues to receive his salary/ Remuneration in India

3. He was residing in india during the last financial year.

Queries

1. Is Mr Y an NRI for this financial year?

2. If yes, what does he need to do to file the income tax rebate?

[sachin shilamkar]

Person residing in India for less than 182 days is NRI. An NRI has to pay tax on any income that accrues or arises in India or is received in India. So salary received in India is taxable if it cross the exemption limit. The person has to file regular income tax return.

[Ganeshan Kalyani]

Refer , Section 6 of Income Tax Act, 1961.

AI Summary

NRI status determination: foreign stay can alter residency and Indian-sourced salary remains taxable; file tax return accordingly.
A person who does not meet the prescribed period of residence may be treated as a Non-Resident Indian. For such a non-resident, income that accrues in or is received in India, including salary received in India, is taxable if it exceeds exemption limits. The individual must file an income tax return and discharge tax obligations on taxable Indian-source income under the domestic tax code.