Income from gulf taxable in india?

Forum Mehta (CA Final) (47 Points)

25 March 2013  

If a person is a resident and ordinary resident for the financial year and has moved to a gulf country (tax free salary) for the last 3 months on the year. Is the salary income taxable in India (since world income is taxable for resident)? There is a DTAA between India and the gulf country as well. But since no tax is paid in the gulf country, no credit can be claimed. So, can an assessee avail the benefit in Section 91 that dtaa or income tax act, whichever is more beneficial to the assesee..

If the foreign salary is taxable, is HRA deduction available on the rent paid  in the gulf country as well under Section 10 (13A)