Clarification on residential status by CBDT in Income tax because of Covide-19 pandemic

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As we all know either people are under lock down or in quarantine because of this pandemic and many of the NRI who were here for a small visit were stuck because of this pandemic.

Also many non resident who visited India as a tourist were kept in quarantine if they were affected and were not allowed to leave also the flights were shut and therefore many people were worried on whether they would become resident of India and would pay tax in India as calculation of a resident in Income tax depends on the period of stay in India.

Now CBDT has issued a clarification on calculation of stay in India because of Covid-19 which is as follows for those who visited India before 22.03.2020:

1. has been unable to leave India on or before 31.03.2020 his period of stay from 22.03.2020 to 31.03.2020 won’t be taken into account.

2. has been quarantined in India on account of Covid-19 on or after 01.03.2020 and has departed on evacuation flight on or before 31.03.2020 or has been unable to leave India on or before 31.03.2020, his period of stay from quarantine till the date of departure or 31.03.2020 as the case may be shall not be taken into account.

3. has departed in evacuation flight on or before 31.03.2020, his period of stay from 22.03.2020 to date of departure shall not be taken into account.

To read full circular CLICK HERE.

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