New Delhi, May 9: The Finance Ministry on Friday announced relief to those who have been facing difficulty with their residency status in India under section 6 of the Income-tax Act due to lockdown and suspension of international flights owing to COIVD-19 outbreak, as they have had to prolong their stay in India.
According to a Central Board of Direct Taxes (CBDT) release, Finance Minister Nirmala Sitharaman today allowed discounting of prolonged stay period in India for the purpose of determining residency status after considering various representations received from people who had to prolong their stay in India due to lockdown and suspension of international flights.
They expressed concern that they will be required to file tax returns as Indian residents and not as NRIs after 120 days of stay.
The Finance Ministry stated that the lockdown continues during the financial year 2020-21 and it is not yet clear when international flight operations would resume, a circular excluding the period of stay of these individuals up to the date of resumption of international flight operations shall be issued for determination of the residential status for the financial year 2020-21.
A circular also said that in order to avoid genuine hardship in such cases, the CBDT has decided that for the purposes of determining the residential status under section 6 of the Act during the previous year 2019-20 in respect of an individual who has come to India on a visit before March 22, 2020 and:
(a) has been unable to leave India on or before March 31, 2020, his period of stay in India from March 22, 2020 to March 31, 2020 shall not be taken into account; or
(b) has been quarantined in India on account of novel coronavirus (Covid-19) on or after March 1, 2020 and has departed on an evacuation flight on or before March 31, 2020 or has been unable to leave India on or before March 31, 2020, his period of stay from the beginning of his quarantine to his date of departure or March 31, 2020, as the case may be, shall not be taken into account; or
(c) has departed on an evacuation flight on or before March 31, 2020, his period of stay in India from March 22, 2020 to his date of departure shall not be taken into account."
The release said there are number of individuals who had come on a visit to India during the previous year 2019-20 for a particular duration and intended to leave India before the end of the previous year for maintaining their status as non-resident or not ordinary resident in India.
"However, due to declaration of the lockdown and suspension of international flights owing to outbreak of COVID-19, they are required to prolong their stay in India. The status of an individual whether he is resident in India or a non-resident or not ordinarily resident, is dependent, inter-alia, on the period for which the person is in India during a year," it said.
Comments
please insert SHESHADRIPURAM COLLEGE TUMAKURU, TUMAKURU UNIVERSITY in your web page to get the benifit of the said scheme by the minority students
please insert SHESHADRIPURAM COLLEGE NAME in your ARIVU LOAN loan web page
Dear sir,
Firstly Congratulations... Sir if possible Kindly visit at Kalaburgi KMDC branch and see how they disrespect poor students.. i also experienced . I feel deeply ashamed why am i poor why did i came here Look's like they're paying from their pocket.
Requesting you to take some action against them.
Congratulations Gafoor Bhai
Muneer khan
Muslim industries Associtation
Bangalore
Congratulation Mr.Gafoor bhai best of Luck
He is one of the leader since decade who is working for congress. Down to earth person and deserve the position. I wish him best for his new assignments.
Mabrook... Wish you all the best
Al Hamdulillah, Finally your efforts came true, Wish you all the best
MUBARAK HO
GOOD NEWS
BEST OF LUCK
GAFOOR BAHI
Congratulation brother.
Gafoor sab nice to see u again here.
wow good news, looking forward for the better development in MDC, all the best.
very prominent leader, those who have chosen this guy for this post are very lucky to get service from him.
wow gafoor bhai all the best.
Congratulation Mr.Gafoor. Wish you all the best.
CONGRATS GAFOOR BHAI...............
Add new comment