Definition of Resident for Individual

An individual is considered a resident if

Option 1

He stays in India for

182 days or more during the previous year (Current Financial Year)

Or

Option 2

He stays in India for 60 Days in 'previous year' + Total 365 days in last 4 years, i.e., preceding the 'previous year' (Last 4 years)

Note :-

Option 2 not for the following

  1. Citizen of India  who goes outside India for Employment
  2. Citizen of India Or PIO - who comes into India for visit.

 In case of these people, only Option 1 only to be considered and not Option 2

PIO means Persons of Indian Origin

i.e Individual whose parents or grandparents were born in undivided India. Even Citizens of Pakistan/Bangladesh covered here as they or their parents were born in undivided India

 

 

 

QUESTIONS

Q1

State whether following are Resident or Non Resident

(a) Mr A  who lives in India by birth get job in USA and leaves India on 1 May 2014

View Answer

  ( b)  Suppose he left on 1 Dec 2014 for job

View Answer

Q2

Suppose Mr B went on world tour on 14 April for 1 year

-a-.

Since he went abroad on tour and (not for employment)

He has both the options.

Option 1 Stays in India for 182 days or more

This condition not fulfilled as he stayed in India for only 31 days

  Option 2

Stay in India for 60 Days in current year + 365 Days in last 4 years

Since he did not stay in current year for 31 days ,this condition also not fulfilled.

So both condition not fulfilled hence he is Non Resident. 


Q3

 Suppose B went on word tour on 1 June for 1 year.

View Answer

Q5

Suppose Mr D, an American citizen come to India for visit every year for 100 days since last 10 years

View Answer
  1. Income Tax
  2. Residential Status
Ask Download

About the Author

CA Maninder Singh's photo - Expert in Practical Accounts, Taxation and Efiling
CA Maninder Singh
CA Maninder Singh is a Chartered Accountant for the past 8 years. He provides GST Training in Delhi. Register now.