Foreigner income tax

[yujin kim]

Dear respected sir

Our company's owner is Korean, he has business visa for 15 years. he doesn't have citizenship.

His FRO finished 2008. and not renewed for a long time.

We don't have any branch, headquarter, only one company in India.

In this case, are we foreign controlled company or local company?  or both of them? I

For 4-5 years, so many Korean gerneral manager, engineer is came to India, and some people took the registration FRO properly.

But some people didn't take the registration FRO and go back to Korea after 3months, or 1 year. I'm also Korean and got the business visa for 2 years. I don't receive any salary in india, but I have been working here for 2 years. Even I didn't get any money in India, but I pay income tax .

But before lots of Korean worker came to our company for working, he didn't pay income tax and sometimes didn't take the FRO registration neither. (all people didn't get salary from India, get from Korea)

In this case, is it any problem if income tax audit is started? Better do we have to put all salay amount for before workers in our balance sheet as a salary payable amount and pay income tax right now??

AI Summary

Korean Company in India Faces Challenges Over Employee Registration, Tax Compliance, and Employment Visa Rules A Korean-owned company operating in India without local branches is questioning its classification as foreign or local due to its business operations and the presence of Korean employees. Many Korean workers, including the owner, have not consistently registered with the Foreigners Regional Registration Office (FRO) and have not paid income tax in India, as they are paid from Korea. Concerns arise about potential issues during an income tax audit, and whether past salaries should be declared in financial statements. The response advises on visa requirements, emphasizing the need for an Exit Visa if a visa has expired and highlights the Indian Interior Ministry's rule that foreign workers must earn at least $25,000 annually to qualify for an Employment Visa.