Income tax impact on returning NRI

[Mahendra Chauhan]

I was in India for FY 2024-25 for 176 days. In the previous preceding four years I was in India for more than 365 days. During FY2024-25 I returned to India on 27-November-2024. Can I claim NRI as per FEMA? If no, then can I claim tax exemption on my NRE FDs from 01-April-2024 till 27-November-2024 for the FY 2024-25, as I was outside India till 27-November-2024.

Kindly provide your advise in how to deal with above situation to save tax. Any link or documents supporting above will be appreciated.

Just for your info: my year wise days in India :

FY 2014-2015 38.00

FY 2015-2016 12.00

FY 2016-2017 7.00

FY 2017-2018 11.00

FY 2018-2019 82.00

FY 2019-2020 366.00

FY 2020-2021 365.00

FY 2021-2022 223.00

FY 2022-2023 130.00

FY 2023-2024 179.00

FY 2024-2025 176.00

(The remaining days are outside India)
 

AI Summary

NRE FD interest is exempt until the FEMA residential status changes to resident based on return intent.
NRE deposit interest is exempt only while the individual remains a Person Resident Outside India under FEMA and the deposits conform to the RBI NRE Deposit Scheme; FEMA residential status depends on the intention to stay rather than day counts (except specific returning resident tests), and once FEMA status changes to Resident the bank must redesignate NRE accounts and interest becomes taxable from that date.