Mr. Bala is determined to be a resident and ordinarily resident based on the following: - He satisfied the second basic condition of staying in India for 75 days in the previous year and 400 days in the 4 preceding years. - He has been a permanent resident of India before first leaving in 2016, satisfying the additional conditions. Mr. Tamilarasan is determined to be a resident and ordinarily resident based on the following: - He satisfied the second basic condition of staying in India for 169 days in the previous year and over 365 days in the 4 preceding years - He left India for the first time in 2020, satisfying the additional conditions. Mr. Gowtham is

1. Problems on Residential Status of an Individual.
RESIDENTIAL STATUS AND TAX LIABILITY (SECTION 6)
Conditions
 Basic Conditions:
a) Stay in India for a period of 182 days or more during the previous year (2020-2021)
b) Stay in India for a period of 60 days or more during the previous yea (2020-2021) and
365 days or more in the 4 years preceding the previous year. 4 PPY…….(19-20, 18-
19,17-18,16-17)
 Additional Conditions:
i. Resident in India for at least 2 out of 10 years preceding the previous year.( from 2011 to
2021)
ii. Stay in India for a period of 730 days or more in 7 years preceding the previous year.
TYPES OF RESIDENTS
A. Resident Sec. 6 (1)
A person one who satisfies any one of the basic conditions called as a resident.
1. Resident and Ordinarily Resident
A person one who satisfies any one of the basic conditions and also satisfied both additional
conditions I & II called as a resident and ordinarily resident.
2. Resident but Not Ordinarily Resident Sec. 6 (6)
A person one who satisfies any one of the basic conditions and does not satisfy any one or none
of the additional conditions called as a resident but not ordinarily resident.
B. Non-Resident Sec. 2 (30)
A person one who does not satisfies none of the basic conditions called as a non-resident.
PROBLEMS :
1. MrBala,an Indian citizen has been making frequent trips for his business purpose. For
the first time he went abroad on 1.4.16.his stay in India during the last five years are as
follows:
2016-2017 - 150days
2017-2018 - 60 days
2018-2019-90days
2019-2020-100day

2. 2020-2021 -75 days
Determine his residential status.
Solution:
P.Y: 1-4.2020 to 31.3.2021
A.Y: 1.4.2021 to 31.3.2022
Basic condition:
a) Mr.Bala does not satisfied the first basic condition i.e 182 days or more
b) he stay in India for 75days in the p.y and 400 days in the 4 preceding p.y.
Conclusion:
Mr.bala satisfied the one basic condition hence he is a resident.
As, he went abroad on 2016 its clear that before 2016, he is a permeant resident in India which
satisfy both the additional Condition.
Therefore, he is a resident and an ordinarily resident.
2. Mr.Tamilarasan an Indian citizen for the first time went abroad on 16.9.20 and returned
India on 30.4.2021.determine residential status.
solution:
PY:1-4.2020- to 31.3.2021
Ay: 1.4.2021-31.3.2022
CHECKING BASIC CONDITION 1 – Stay in India for 182 in PY
April 30
May 31
June 30
July 31
Aug 31
Sep 16
Total 169days
Mr..tamilarasan does not satisfy the first basic condition
But He satisfied the second basic condition which he stay for 169days and more than 365days in
4 preceding PY.

3. CHECKING ADDITIONAL CONDITION: he left India for the first time in the year 2020 and it
is clear that he stayed in India for 10 PPY and 7PPY which is the additional condition.
Since he satisfies one basic condition and 2 additional condition it is concluded that he is a
Resident and ordinarily resident
3. On 01.06.18, a Malaysian citizen Gowtham, left India after a continuous stay for 10
years. During the financial year 2019-20, he came to India and stayed for a period of 46
days and once again left. He came back to India on 10.10.2020 and stayed here for one
year. Determine his residential status for the A.Y.2021-2022.
Solution:
Determination of residential status for the A.Y.2021-22. P.Y-1.4.20 to 31.3.2021
Checking Basic condition:
1) 182 days in PY 1.4.2020-31.3.2021
Stay during the year 2020
April =0, May=0 June=0 July=0 Aug=0 Sep=0
Oct=22(10.10.19)31-10=21+1 =22 days
Nov=30days Dec=31days
2021 Jan=31days
Feb=28 daysandMarch=31days
Total 173 days
b) stay in India for 60 days in p.y and 365 days during the 4 p.p.y:
1.4.2016-31.3.17=365 days
1.4.2017-31.3.18=365 days
1.4.2018-31.3.19=30 days in april+31days may+ 1 days in June =62 days
1.4.2019-31.3.20=46 (Given in question)
1.4.19-31.3.20=174
Second basic condition u/s 6(1) of 60days stay in india in the p.y and 365 days during the 4 p.p.y
is satisfied
Mr.gowtham is resident

4. Checking Additional condition:
(i) Additional condition(1) of being resident of 2 out of 10 p.p .y is satisfied because he was
left india in 2018, after 10 years only.
(ii) A stay for 730days in 7 p.p.y (365+365+365+365+365+62+46) hence satisfied the
second additional condition also
Conclusion:
Mr.gowtham is a resident and oridinarily resident under sec6(1) for the assessment year 2021-
2022 as he satisfied 1 basic and 2 additional condition.
4. Mr. Arun an Indian citizen, stayed in India for 182 days during the previous year 2020-
2021.
Determine Mr. Arun’s residential status for the assessment year 2021-20 on the assumption that
during the financial years 2010-2011 to 2019-20 he was present in India as follows:
2011-2012 180 days
2012-2013 20 days
2013-2014 50 days
2014-2015 50 days
2015-2016 59 days
2016-2017 180 days
2017-2018 50 days
2018-2019 58 days
2019-2020 59 days
Solution:
Determination of residential status of Mr.Arun
P.year: 1.4.20 to 31.3.21
A.year: 1.4.21 to 31.3.22
Checking Basic condition
a) As per question, he stayed in India for 182 days in the PY
Mr.Arun satisfied one basic condition, hence is a resident
Checking Additional condition:
i) A resident must stay in India for 2 out of 10 PPY – Not satisfied
ii) A resident must stay for 730 days in 7 PPY- Not satisfied

5. Conclusion:
Mr.Arun is not satisfied the both additional condition i& ii. Hence is a resident but not
ordinarily resident.
5. Mr.Rajesh, an Indian citizen employed in U.K. came to India for a visit in 2018 on 4th
august and left again on 4th January 2019.He was in India again from 31st dec 2019 till 4 April
2020.
You are required to determine his residential status for the previous year 2020-2021
Solution:
Determination of Residential status of Mr.Rajesh
PY: 1.4.20 to 31.3.21
AY : 1.4.21 to 31.3.22
Checking basic Condition :
1. 182 days during PY- Not satisfied ( He stayed only for 4 days)
2. 60 days in PY and 365 days in 4 PPY – Not satisfied.
Conclusion : He is not a resident as he does not satisfy both the basic condition.
Note: Additional condition is irrelevant when a person does not satisfy the basic condition