nikijitu
Dec 1, 2010, 11:08 AM
I am retired usa citizen. I came to india every year for last ten years. But my total aggregate stay had never been more that 180 days a year. I have some nre and nro accounts and some year fixed deposits earning interests. Banks deduct tds from that. I pay income tax in usa for these interest earned here. I don't bother toile income tax in india since the tds amounts are minimal may be less than $500. Is there. However, is there any new ruling in indian taxation (direct tax) that will change these? Such as i will be taxed in india for global income even if stay less than 180 days as the following is circulated among us citizens visiting india:
New indian rules for taxation from april/2010, an nri is not considered as nri if he comes in
India for 60 days in a year,but will be taxed on his all the income person earns in foreign land,
Even if he lived in foreign since decades,or whole life,but will be taxed as local indian +
That means now if a person going to india even in few trips combined in a year over 60 days,is to be counted local citizen to declare even foreign income,and pay tax on it,
Now to go india in our own country,we have to make sure that we go only in emergency to see relatives,but not for social trip,nor long medical check ups reasons+nris to get their children's married in foreign land,and no more long celebrations with close relatives in india+++but is cheaper to buy tickets for indian relatives to join our children's weddings in foreign land
Important news for nri!! (now that indian govt does not need nri's foreign exchange) we really will become not required indians. Please forwards this to all your nri friends in your forward list
Under clause 4 of the direct taxes code, which is to come into effect from 1st april 2012, the status of resident but not ordinarily resident, which is currently avaialable under section 6 (6) of the income tax act of 1961, is sought to be removed.
After the code comes into force, a person will become resident in india in any financial year if either of the following two conditions is fulfilled:
a. if he is in india for a period or periods repeat periods aggregating to 182 days or more in a financial year or
b. if he is in india for 60 days or more in a financial year and has also been in india for 365 days or more within the four years immediately preceding that financial year.
Therefore, a non resident indian would become resident in india under the direct tax code if either of the aforesaid two conditions is fulfilled, and will be liable to tax in india on his world income. This would be not withstanding the fact the he may be a person resident outside india under the provistions of the foreign exchange management act 1999.
New indian rules for taxation from april/2010, an nri is not considered as nri if he comes in
India for 60 days in a year,but will be taxed on his all the income person earns in foreign land,
Even if he lived in foreign since decades,or whole life,but will be taxed as local indian +
That means now if a person going to india even in few trips combined in a year over 60 days,is to be counted local citizen to declare even foreign income,and pay tax on it,
Now to go india in our own country,we have to make sure that we go only in emergency to see relatives,but not for social trip,nor long medical check ups reasons+nris to get their children's married in foreign land,and no more long celebrations with close relatives in india+++but is cheaper to buy tickets for indian relatives to join our children's weddings in foreign land
Important news for nri!! (now that indian govt does not need nri's foreign exchange) we really will become not required indians. Please forwards this to all your nri friends in your forward list
Under clause 4 of the direct taxes code, which is to come into effect from 1st april 2012, the status of resident but not ordinarily resident, which is currently avaialable under section 6 (6) of the income tax act of 1961, is sought to be removed.
After the code comes into force, a person will become resident in india in any financial year if either of the following two conditions is fulfilled:
a. if he is in india for a period or periods repeat periods aggregating to 182 days or more in a financial year or
b. if he is in india for 60 days or more in a financial year and has also been in india for 365 days or more within the four years immediately preceding that financial year.
Therefore, a non resident indian would become resident in india under the direct tax code if either of the aforesaid two conditions is fulfilled, and will be liable to tax in india on his world income. This would be not withstanding the fact the he may be a person resident outside india under the provistions of the foreign exchange management act 1999.