Residential status for non-residents revised: income and foreign tax liability now determine tax residency and global tax scope.
The Finance Act amends residency rules so that an Indian citizen or person of Indian origin may be treated as resident or deemed resident where their India source income (excluding specified foreign source income) exceeds a statutory threshold, and where they are not liable to tax abroad due to domicile or residence criteria; RNOR status is preserved for certain intermediate stays and continues to exclude most foreign income except foreign business or professional income linked to India. (AI Summary)