[ad_1]
NEW DELHI :
Non-resident Indians (NRIs) and foreign visitors held in India due to the suspension of air travel will not have to count the length of their extended stay when deciding on their state of fiscal residence, the government said on Friday.
The Central Direct Tax Board (CBDT) relaxed the rules in light of the statements of those individuals who expressed concern that they will be required to file tax returns as Indian residents.
According to a CBDT circular, those who were unable to leave the country before the end of March will not have to count the last 10 days of the month starting on March 22, when India suspended international flights. In the case of persons who have been quarantined in the country as of March 1, 2020 and who have left the country on an evacuation flight on or before the end of March or have been unable to leave India before the end of March, the period elapsed in the country beginning the beginning of quarantine will not count.
People’s tax residency depends on their time in the country in the previous financial year or years. This is crucial as Indian residents have to pay taxes in India on their global income, while NRIs only have to pay taxes in India on income earned in India.
.
[ad_2]
