The document discusses residential status in India for tax purposes. There are two categories: resident and non-resident. A person is considered a resident if they stay in India for 182 days or more in a year, or 60 days in the current year and 365 days in the last 4 years. Anyone who does not meet these criteria is a non-resident. The document provides examples to illustrate how residential status is determined based on the number of days spent in India. It also discusses exceptions and additional conditions to qualify as resident and ordinarily resident.

1. Residential Status
Resident Non
Resident
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 1

2.  Whether a person will be charged to a particular
income or not , depends on his residential status.
Citizenship and Residential status are two
different concepts.
 1.Resident in India.:- a) Resident and
Ordinarily Resident
◦ B) Resident but not Ordinarily Resident
 2.Non resident in India.
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 2

3.  1. He / She in India for a period or periods
amounting in all to 182 days or more in the
previous year of (sec 6(1) (a) or
 2. He is in India for 60 days or more during
the previous year and has been in India for
365 or more days during 4 previous years
immediately preceding the relevant P.Y .
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 3

4.  An Assessee who is not satisfying any of the above
conditions shall be treated as a non resident in India for
the relevant P.Y.
 Example :
 Mr.Girish came to India first time during the P.Y. 2019-
2020. During the previous year ,If he stayed in India for
(1) 48 days; (2) 184 days ; & (3) 160days. Determine
his residential status for the A.Y. 2020-2021.
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 4

5.  1. 48 days
 Since Mr.Girish resides in India only for 48
days during the P.Y. 2019-2020 , he does not
satisfy any of the basic conditions specified in
sec . 6(1) . He is , therefore , a non- resident
in India for the P.Y. 2019-2020.
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 5

6.  2) 184 days.
 Since Mr.Girish resides in India for 184 days during the
previous year 2019-2020, he satisfies one of the
conditions specified in sec. 6(1) . He is, therefore, a
resident in India for the P.Y. 2019-2020.
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 6

7.  3) 160 days.
 Since Mr.Girish resides in India for 160 days during
the previous year 2019-2020, Though he resided for
more than 60 days during the previous year but he did
not reside in India in 4 years immediately preceding
the previous year since he came India first time. He
does not satisfy any of the basic conditions specified
in sec .6(1). Thus he is a non- resident for the P.Y.
2019-2020.
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 7

8.  1.An Indian citizen , who leaves India during
the previous for employment purpose.
 Ex. When a person visited China for purchasing raw-material
for his business , he is get the benefit of this exception.
 2. An Indian citizen , who leaves India during
the previous year as a member of crew of an
Indian ship.
 3.An Indian citizen or a person of Indian origin
, who normally resides outside India , comes on
a visit to India during the previous year.
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 8

9. Resident
Resident and
Ordinarily
resident in India
Resident and Not
Ordinarily resident in
India
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Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 9

10.  If a resident individual satisfies the following
two additional conditions, he will be treated as
resident and ordinarily resident in India.
 1. He has been resident in India for at least 2
out of the 10 previous year immediately
preceding the relevant previous year. And
 2. He has been India for a period of 730days or
more during 7 previous years immediately
preceding the relevant previous year.
 (Note : To be a resident & ordinarily resident in
India , one has to satisfy at least one of the
basic conditions and both the additional
conditions. )
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 10

11.  Mr. Rohith , aged 20 years , left India for the
first time on May 31, 2019 Determine his
residential status for the previous year 2019-
2020. If :-
 1. He left India for employment purpose.
 2. He left India on world tour.
01/6/2020
Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 11

12.  If a resident individual does not satisfy both
additional conditions, he is “Resident but not
ordinarily resident in India”.
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Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 12

13.  Thank You
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Girish M.C , Asst Prof of
Commerce, Panampilly Memorial
Govt College, Chalakudy 13