Residential Status of an Individual in India

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Contents

Types of Residential Status for the Accounting Year 2007-2008

  • Resident and Ordinarily Resident
  • Resident and Not Ordinarily Resident
  • Non-Resident

Who is considered a Resident of India?

An individual shall be considered a Resident of India if he fulfills any one of the following conditions:

Condition 1

  • He should be in India for 182 days or more during the previous year

OR

Condition 2

  • He should be in India for 60 days or more during the during the previous year AND
  • He should be in India for 365 days or more in 4 years immediately preceding the relevant previous year.

Exceptions

  1. An Indian Citizen leaves India during the previous year as a crew member of a ship or for the purpose of employment outside India.
  2. An Indian Citizen or a Person of Indian Origin visits India during the previous year

Then he shall be a Resident of India only if he is in India for 182 days or more.

Who is considered an Ordinarily Resident Indian?

A resident shall be an Ordinarily Resident Indian if he satisfies the following conditions:

  • He is a resident of India in at least 2 out of the 10 years immediately preceding the relevant previous year. AND
  • He has been in India for a period of 730 days (2x365) or more in 7 years immediately preceding the relevant previous year.


Examples of Residential Status

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