{"id":24635,"date":"2019-09-16T19:02:42","date_gmt":"2019-09-16T13:32:42","guid":{"rendered":"https:\/\/enterslice.com\/learning\/?p=24635"},"modified":"2019-11-26T16:02:33","modified_gmt":"2019-11-26T10:32:33","slug":"section-115h-and-its-impact-on-income-of-nri","status":"publish","type":"post","link":"https:\/\/enterslice.com\/learning\/section-115h-and-its-impact-on-income-of-nri\/","title":{"rendered":"Section 115H and its Impact on Income of NRI’s"},"content":{"rendered":"

Introduction<\/strong><\/h2>\n\n\n\n

The tax regime of every country is an integral component of its economy since it is one of the primary sources of government funding. In India, the Income Tax Act, 1961 was enacted for levying a tax on services & products or income of the Indian residents. The Indian taxation system levies tax on an assessee income based on several criteria. One such criterion is the “residential status<\/strong>” of the assessee. an analysis on section 115h of the income tax act, covering benefit under section 115h resident.<\/p>\n\n\n\n

Meaning of Residential Status<\/strong><\/h2>\n\n\n\n

Residential Status of an individual\nrefers to the time period for which he\/she has stayed in the Indian territory\nin the financial year for which taxable income is being computed. <\/p>\n\n\n\n

In modern times, the prospects of jobs have increased manifold, and people are no more confined to their domestic country when it comes to earning income. Therefore, the question arises on how to charge those residents who are not permanently residing in India. Under the Income Tax Act, provisions have been included for the imposition of tax on the income of such Non-Resident Indians (NRIs)<\/strong>[1]<\/a><\/sup>.  <\/p>\n\n\n\n

Determining Residential Status<\/strong><\/h2>\n\n\n\n

As per the Income Tax Act, 1961, a\nperson may be:<\/p>\n\n\n\n