Funds transfered in nre account

Rajat (Finance) (49 Points)

14 December 2012  

My Client is an Indian Citizen by birth and UK citizen by nationality. He is retired from UK and residing in India since last 6 years and thus ordinary resident. He is receiving pension from UK after tax deduction in his UK-London Bank account and getting it remitted to India in NRE-SBI account. The question is whether the amount so received is exempt. The amount is  about Rs.10 to 12 lacs per year.