Krishna (Assistant) (656 Points)
22 January 2023
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177015 Points)
Replied 23 January 2023
When did he left for employment?
Or when he returned back?
Krishna
(Assistant)
(656 Points)
Replied 24 January 2023
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177015 Points)
Replied 24 January 2023
Whether he was on job (in foreign company, during his visits to India) continuously?
Krishna
(Assistant)
(656 Points)
Replied 24 January 2023
Thanks Sir; for giving reply to all doubts
1. He has been working abroad since 2005. On 31 Mar 17 he left India again he came to India on 03 Jun 17 & left India on 6th oct 2017 again he came back to India on 5th Dec. 2017 & left India on 10th Feb 2018. So around 194 days he was in India for 2017-18.
He is leaving India for employment & also coming to India not for employment. So I think he satisfied both the conditions; he was a person resident outside India as per FEMA for full year even though he stayed in India for more than 182 days.
2. As per income tax he is R & OR bcoz he stayed in India for more than 182 days n he satisfied both additional conditions. Unluckily he is resident only for 2 years in last 10 preceding PYs & thus he satisfy additional condition. He received salaries abroad there his tax was not deducted & only because he resided in India for 12 days more he is required to pay tax.
3. Actually he received notice us 148 for income escaping assessment i.e. he made few FDs. Now that 234 A B C interest is double than basic tax figures.
4. Sir; if we declared exact income then also penalty notice us 270A will be issued ? 50% of tax. I don't think that they will levy 200% because it's not misrepresenting. I think if we give them the proper explanation then that penalty can be deleted. ?
Sir; Plz reply for this message
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177015 Points)
Replied 24 January 2023
The conditions get satisfied, only if he had been in continuous service abroad, and had been in India, for vacation or leave.
Otherwise, it will be very difficult to justify the conditions as per FEMA act.
Krishna
(Assistant)
(656 Points)
Replied 25 January 2023
Dhirajlal sir; small mistake from my side. To check the residential status as per FEMA; we need to check the no. of days stays of preceding financial year. That is for FY 2017 18 we need to check the no. of days of 2016 17. In 2016 17 he stayed for less than 182 days means he is PROI as per FEMA for 2017 18. So interest is exempt us 10(4)(ii) ?
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177015 Points)
Replied 25 January 2023
That is in regular course, but once he returns back, his status changes.
In general, he is treated as Resident as soon as he returns back from employment.
Here, its continuous employment can only help for his NRE status as per FEMA act.
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