Top 5 Income Tax Rules for NRIs

Non-residential Indian, status and its related features will vary by far from one year to the other. See under what clauses you come under this category or not.  Any of the income that is accruing in India or arising in India is taxable for the non-residential Indians too. Here are top 5 income tax rules for NRIs.

Income Tax on NRIs
NRI and Taxes Payable

Option to Open Tax Exempt Income Accounts

There are no public provident funds accounts that can be opened on the non-residential Indian account. When the same person comes back and becomes a resident then all the global income is taxable in India. When the Indians are leaving the country for any jobs abroad, then the number of days spent on the country is counted to award them the status as non-residential Indians. If it is anywhere more than 182 days then naturally you are not given the status of non-residential Indian.

Income tax rules are quite usual just like the other par citizens of the country for you too. Regardless of whether you are in merchant navy or any other mode of profession that warrants you to travel everywhere in the seas, to not to be present in the country physically for long time, you got to pay the taxes as a normal citizen without fail.

Income tax rules are only based upon all these conditions mentioned above, to determine on whether the person is eligible to be awarded the status of the non residential Indian or not. Any rental income or salary that is received in India for the non-residential Indians are sure to be coming under the tax levies without fail.

READ  No concealment penalty can be levied on the basis of disallowance of claim for expenditure

As per income tax rules there are basic exemption limits for the non-residential Indians too. Assets that are sold in India are taxable. Filing returns is mandatory for any non-residential Indian, to carry forward the losses to the successive years or the make any claims for the tax refunds too.

When you are back from the foreign country to become permanent resident in India, then you are not going to pay complete tax for the transition period of two years or so, if you were away for more than nine years already. After the first two years time period, then all the money that you have will be considered as taxable global income. You have to pay taxes just like how every other resident is paying without any exemptions for being a non-residential Indian once as per income tax rules.