Residential Stats: Basic and Additional Conditions

1. DIRECT TAX UNIT – I TAXATION
Mr. K. GANESHA MOORTHY, ANJA COLLEGE, SIVAKASI 1
Mr. K. GANESHA MOORTHY
Assistant Professor,
Department of Commerce (Corporate Secretaryship),
Ayya Nadar Janaki Ammal College, Sivakasi.
RESIDENTIAL STATUS

2. DIRECT TAX UNIT – I TAXATION
Mr. K. GANESHA MOORTHY, ANJA COLLEGE, SIVAKASI 2
Residential Status of an Assessee:
The scope of total income of an assesse is
determined with reference to his residence in previous year.
DIRECT TAX UNIT – I TAXATION
Mr. K. GANESHA MOORTHY, ANJA COLLEGE, SIVAKASI 2

3. To decide the residence of an assesse, the act laids down
some conditions. The are,
1. Basic Conditions
2. Additional Conditions
Basic Conditions:
a) He is in India in the previous year for a period of
182 days or more.
(or)
b) He has been in India for atleast 365 days during
the 4 years preceding the previous year and he is in India for
at least 60 days during the previous year.
DIRECT TAX UNIT – I TAXATION
Mr. K. GANESHA MOORTHY, ANJA COLLEGE, SIVAKASI 3

4. Additional Conditions:
a) He is a resident at least in any 2 out of the 10 years
preceding the relevant previous year.
and
b) He has been in India for at least 730 days in all during
the 7 previous years preceding the relevant previous
year.
DIRECT TAX UNIT – I TAXATION
Mr. K. GANESHA MOORTHY, ANJA COLLEGE, SIVAKASI 4

5. Resident:
He fulfills any one of the basic conditions.
Ordinarily Resident:
He fulfills any one of the basic conditions and both
additional conditions.
Not Ordinarily Resident:
He fulfills any one of the basic conditions only.
Non-Resident:
Does not fulfills any one of the basic conditions.
DIRECT TAX UNIT – I TAXATION
Mr. K. GANESHA MOORTHY, ANJA COLLEGE, SIVAKASI 5

6. Thank You
DIRECT TAX UNIT – I TAXATION
Mr. K. GANESHA MOORTHY, ANJA COLLEGE, SIVAKASI 6