How to find NRI status?

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1. Different Types of NRI Bank Accounts wrote:

   [...] this article I will be writing about the different types of Non-Resident Indian(NRI) bank accounts and services. It is the most common query which I receive from our readers. So, I [...]

   October 27th, 2009 at 12:00 am
2. NRI status for Gift Tax wrote:

   [...] the gift tax exemption. This article explains the same. Read this article to know more about the NRI status. Please subscribe to our articles [...]

   November 15th, 2009 at 3:40 am

1. sanjeev said:

   Hi,

   I want to know my residential status.
   I had come to US on Oct31,2008 for employment.
   I visited to India for two weeks in month of July,2009
   for family visit.
   I want to know when shall I plan my permanent return to maintain the NRI status.

   Can u please help me for same?

   Regards,
   San

   August 28th, 2009 at 7:03 pm
2. Gaurav said:

   Hi,

   Thanks for the articles. I have one question about my NRI status for this financial year. I left India on 12 March 2009 for employment purpose. come back to India on 12 th June 2009 for VISA renew and vacation and again left India on 9th Aug before finally coming back on 16th Oct. Now I am working in a Indian Firm and I am not sure If I have to pay tax for my earning while I was away.

   Thanks
   Gaurav

   November 15th, 2009 at 10:23 pm
3. krishnas said:

   Hello Gaurav,

   You are not required to pay the tax what you have earned outside India. But, when you are outisde India, if there is any income in India, for that you have to pay the tax.

   Thanks,
   Krishna

   November 16th, 2009 at 6:13 am
4. rakesh said:

   hiiiiiiiiiii iam rakesh a betech student. nd ur artle is very nice i vant some rinn formation abt ohw many indians are in other contris nd hav dedr green cards nd vats da finacial status der nd vats da taxes paid by dem to hteir respctive countries pls pls pls send me iam collectin dis data for as film story pur pose nd sir i hav many other doubts nd donno hum to ask vill u pls send me ur id to be ibcontact abt fda stoiers furtgher infomation nd to clarify my douya pls pls p[ls dont ignore me sir

   November 23rd, 2009 at 2:17 am
5. krishnas said:

   Hello Rakesh,

   Thank you for the comments. Please write your doubt clearly. I will answer your question.

   Thanks,
   Krishna

   November 23rd, 2009 at 3:41 am
6. rachna said:

   Why should Gaurav not need to pay tax on what he earned outside India. If we count the vacation time he spent in India between June and August, he would have spent more than 182 days in India, hence would be considered a resident. I havent seen any explanation that vacation time will not be considered in the “182 days”.

   November 24th, 2009 at 9:07 am
7. krishnas said:

   Hello Rachna

   However the income generated in India only need to pay the tax.

   Thanks,
   Krishna

   November 24th, 2009 at 5:37 pm
8. rachna said:

   Ok so I am confused. Why is that. He does not qualify under RNOR nor is he resident. As an ROR(Resident and ordinarily resident) he is liable to pay tax in India on his world income.

   November 24th, 2009 at 6:56 pm
9. krishnas said:

   Hello rachna,

   There is a transitional status of Resident but not Ordinarily Resident (RNOR) between being an NRI and becoming a full-fledged Resident after returning to India permanently.

   RNOR is a person who satisfies one of the following conditions:

   a. he has been a non-resident in India in nine out of the ten previous years preceding that year, or

   b. has during the seven previous years preceding that year been in India for a period of, or periods amounting in all to, seven hundred and twenty-nine days or less.

   An RNOR is not required pay tax in India on his foreign exchange income.

   Most of the NRIs will be caught by the requirement of stay in India for 729 days or less during the last 7 financial years.

   Consequently, anyone who returns after 7 or more financial years of being an NRI will become RNOR for 2 years. Those returning after 6 years will become RNOR for 1 year only. This is subject to his stay in India during the previous 7 years for 729 days or less.

   Thanks,
   Krishna

   November 24th, 2009 at 7:10 pm
10. rachna said:

    Sure I understand that. However in the case in question, Gaurav left India on Mar 2009 and returned in Oct 2009. But he came for visa renewal and vacation for 1 month. So he is employed outside of India for more than 182 days, however because of his vacation/visa renewal trip he has spent more than 182 days in India.

    Anyway my situation is this:
    I left India in Feb 2005. I returned back on Oct 15 2009. I was employed overseas. Now from Oct 15th to 31st Mar 2010, I would have spent < 182 days in India. However I also visited India on vacation in Apr 2009 for 1 month. If we include this 1 month as well, then my physical presence in India will be for more than 182 days.
    I have 2 questions. For this financial year, will I be resident or non-resident(Will I have to pay tax on my overseas earning this Financial year).
    If the answer is Non Resident, can you please point me to the relevant section/ruling that allows for not counting the days I spent on vacation in India

    Many thanks,

    You are very prompt in replying. Awesome.

    November 24th, 2009 at 11:31 pm
11. krishnas said:

    Hello Rachna,

    You can find the definition for RNOR here:
    http://www.incometaxindia.gov.in/publications/2_TDS_On_Salaries/Chapter09.asp

    A person who is otherwise resident as defined above would be RNOR if he satisfies any of the following two conditions :

    i) He has not been resident in India in 9 out of 10 preceding previous years.

    ii) He has not be in India for an aggregate period of 730 days or more in the preceding 7 previous years.

    When you come back to India, you will be resident only. But, the question is whether you are Ordinary Resident or Not-Ordinary Resident(NOR). For that you have to satisfy the any of the above condition. If you fail both the above condition, then you are resident.

    hope you are clear now.

    Thanks,
    Krishna

    November 25th, 2009 at 8:30 pm
12. ADB said:

    HI…WELL I HAVE A QUESTION, PLEASE SEE BELOW MY TRAVEL DETAILS CAN YOU PLEASE ADVISE ME WHAT TO DO TO MAINTAIN MY NRI STATUS I HAVE BEEN OVERSEAS SINCE 2005 AND HAVE FULLFILLED THE MINIMUM STAY OVERSEAS OBIGATION.

    NOW SINCE I HAVE TO GET THE ADMISSION OF MY CHILD INTO SCHOOL. I NEED TO STAY IN INDIA FOR THE MONTH OF 24TH DEC TO 10 FEB. I THINK ILL BE SHORT OF 10~15 DAYS.

    WHAT SHOULD I DO.

    MY TRAVELL DETAILS ARE:
    DEPARTURE FROM IND 17TH JUN 2009 38
    ARRIVAL IN IND 26TH JUL 2009

    DEPARTURE FROM IND 21ST SEP 2009 42
    ARRIVAL IN IND 03RD NOV 2009

    DEPARTURE FROM IND 12TH NOV 2009 42
    ARRIVAL IN IND 27TH DEC 2009

    DEPARTURE FROM IND 05TH JAN 2010 09
    ARRIVAL IN IND 15TH JAN 2010

    DEPARTURE FROM IND 15TH FEB 2010 44
    ARRIVAL IN IND 01ST APR 2010

    PLEASE ADVISE.

    TKS ANIK

    December 8th, 2009 at 5:48 am
13. vineet said:

    Hi,
    I came to USA for studies in sept 2008. From your post it appears I got NRI status from then itself. My question is
    #1 Are there restrictions on the amount of money that I can remit when I start working?
    #2 Are they taxable if remitted to my parent’s accounts. And is it better to transfer it to an NRE / NRO account or to my regular savings account in India through a bank wire transfer?

    January 1st, 2010 at 5:04 am
14. sandeep said:

    hi, i am a marine engineer and in this current year i have completed 175 days outside india, so now i am short of 8 days, for my nre status, and will have to pay income tax, can i visit countries like srilanka or bangladesh for 8 days as a tourist and finish my nri status, please reply. thanks sandeep

    January 10th, 2010 at 7:45 am
15. kunal chandra said:

    hello sir,
    my name is kunal chandra,a marine engineer.i have spent 182 days outside india,(excluding the date of arrival and departure date in india).i want to know whether i will have to pay tax.i have my nri status for the last 5 years. urs reply will be of great help to me. can i visit bangladesh for completing my nri days.
    thanks

    January 16th, 2010 at 8:32 am
16. Rakesh Palla said:

    I am working with UK based shipping company, residing in india. wages per month 5000USD. Wages goes to my NRE account every month (12 months)direct from company. 4 months on (in ship out side india) and 4 months off(at home india). so some times it is not possible to be on ship for more than 183 days in a particular financial year. In the next financial year ,possible to do 8months on ship.
    1. Is this earnings taxable if i am not outside india for 183days in a financial year? how much?
    2.If i have 183 days outside india for consecutive last 7 years…any exemptions…or does not make any difference?
    3.Any special IT rules for seafarers? or any latest?

    thanks and regards
    rakesh
    4.

    January 17th, 2010 at 12:53 am
17. Tony said:

    Hello,
    I have business in UAE and India also.. In both countries i have patnership in different company..In UAE I have Residence Visa with Partner status.. So let me know please, is it required to stay outside India more than 182 days to get NRI status ? is it required for business men? is it required stay abroad more than 182 days to get tax redumption & NRI status ? because i cannot find anything about NRI status of business man so please make topic about that…and also i have one NRI account and also joint account in india..So is it possible to continue in that joint account? I asked bcoz it is noticed in ur site that all bank accounts in india changed into NRI accounts.. so please give me a reply on these doubts please.. Thanking you…

    January 24th, 2010 at 12:19 am
18. Capt B P leblond said:

    Dear Sir
    I am marine officer
    1) I would like to know to maintain NRE status do i require to be out of india during the financial yeary for 182 days or 184 days
    as some tell me 184 days and recently some one told me to be on the safe side i should be out for 186 day in the FY
    2) and does the countdown starts from the date of departure or one day after the departure date
    3) and salary certificate required should me made from the departure date or the actual joining day of joining the ship
    4) Do i require to file my returns as i am maintaining my NRE status

    Thanking You
    Yours faithfully
    Bryan

    January 31st, 2010 at 5:10 am
19. krishnas said:

    Hello Capt B P leblond,

    If you are NRI, then need to file the IT returns. If you are maintaining 182 days outside India, then you become NRI. It need not be continuous. You can come back to India and go abroad. Total days must be above 182.

    Thanks,
    Krishna

    January 31st, 2010 at 5:27 am
20. krishnas said:

    Hello Tony,

    Yes. You have to maintain 182 days to become NRI. Also, if you have any account in India, it must be converted to NRO or NRE account.

    Thanks,
    Krishna

    January 31st, 2010 at 5:29 am
21. krishnas said:

    Hello Rakesh Palla,

    If you are not maintain the 182 days, then you become ordinary resident. In that case, what ever income you have earned will be considered as global income and taxable in India.

    Thanks,
    Krishna

    January 31st, 2010 at 5:31 am
22. krishnas said:

    Hello kunal chandra,

    You need not pay the tax.

    Thanks,
    Krishna

    January 31st, 2010 at 5:32 am
23. krishnas said:

    Hello sandeep,

    yes. You can visit other countries and complete the NRI status.

    Thanks,
    Krishna

    January 31st, 2010 at 5:33 am
24. RAJIV TRIPATHI said:

    I am Indian and recently likly to visit China for 4-5 weeks and want to know basic of NRI as :
    (1) How one can become NRI ?
    (2) How to maintain NRI status ?

    Thanks

    Rajiv Tripathi

    February 1st, 2010 at 6:03 am
25. Mukesh Sharma said:

    Dear Sir

    I am in Merchant navy. and completed 140 days outside India in this financial year 2009-2010

    I was on medical leave for 37 days other than these 140 days
    I am NRI since 1999-2000 except 2005-2006

    Can RNOR help me for tax purpose as it says you need not to pay tax if you are NRI for any 9 years in last 10 years

    and is there any provision for medical leave as I was not able to earn during that time

    Thanks and Best Regards
    Mukesh

    February 1st, 2010 at 10:30 pm
26. arpit said:

    hello sir
    iam in merchant navy and have completed 143 days in this fy and will leave india on 17th of feb 2010 but ill start earning from 25th feb2010 in that case will these days that is b/w 17th to the 25th of feb will be added to 143 days which i have mentioned above.

    February 10th, 2010 at 12:54 pm
27. J.K said:

    Dear Krishnadas

    I’m in merchant navy.I’ve completed 172 days outside India this fin
    year.I was in Indian company for 2.5 months for Rs.300000/month and already deducted 32.5% of my wages as tax.Later I joined a foreign registered company,earned USD8300/month, completed rest days out of 172.I m planning to visit singapore to complete my NRI status.
    1.Do I have to pay tax from my USD wages if I’ve not complete 182 days.
    2.Can I get back the tax paid If I complete 182 days.
    3.What is Form 16 and its relevance

    Pls Advice

    J.k

    February 11th, 2010 at 9:46 pm
28. Jeremy Nirmal said:

    Hi Krishna,
    My Sister is a US citizen who has gone to India for a 6 month period in search of employment. Will she have to pay any kind of tax for staying there for a certain period of time or is she required to do this only if she actually starts earning? Please advice.

    Thanks

    Jeremy Nirmal

    February 16th, 2010 at 11:57 am
29. Lokz said:

    Hi Krishna

    Nice artilcle and post comments. It did indded help me understand about taxation process for NRIs.

    I went overseas in Jul 2009 and planning to return to India in Jul 2010. So if I have understood correctly, since my stay for 2009-10 FY is less than 182 so I get NRI status for 2009-10. So I will need to pay tax for my income generated in India for 2009-10.
    When I return in Jul 2010, I will not get NRI status as my stay in India would be more than 182 days. So do I need to pay a tax in India on my income generated aboard for Apr-Jul 2010? If yes, is there a way to avoid double taxation? I would end up paying tax overseas and in India too.

    Thanks
    Lokz

    February 17th, 2010 at 8:41 pm
30. Lokz said:

    Plz read “So I will need to pay tax for my income generated in India for 2009-10.” as “So I do not have to pay tax for my income generated in India for 2009-10.”

    February 21st, 2010 at 5:14 pm
31. ASHEESH said:

    Dear Krishna,
    plz tell me that whether the days of leaving and arriving INDIA are included in the 182 days period ( to gain the status of NRI) or not.
    PLZ REPLY ASAP..
    THNX

    February 22nd, 2010 at 5:49 am
32. Milind Goyal said:

    Good day Krishna,
    First of all thank you for the wonderful job you are doing.
    I am also in the Merchant Navy.

    1) Do people with NRI status have to file returns. I have recently taken a home loan & purchased a property.
    2) The 182 days that are required to gain NRI status should be acquired on board ship or does the time spent abroad for courses & holidays also count?
    3)If for some reasons we miss out on NRI status in a year can we Opt for RNOR staus that year if the two conditions of 9 out of ten years & 7 Yrs (729 days in India) conditions are applicable and then revert back to NRI status the next year?

    Much apprecaite the work you are doing,
    Thanking you once again,
    Milind Goyal

    March 7th, 2010 at 6:10 am

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