It filing for nri
Info Seeker
(Querist) 13 March 2013
This query is : Resolved
Dear Sir/Madam,
I would like to know whether i should file for IT Return.
I left India since dec 2006 and use to visit india for 30 days every year since 2007.
1) I want to know whether i have to file for IT Return.
2) what is the procedure ?
Info Seeker
(Querist) 13 March 2013
To add further, I have an apartment in india which is rented. But the rent doesnt come to my account as my account is NRE. So i suggested my tenant to make cheques on my fathers name. which my father is receiving every month.
i also have some mutual funds in india.
so even after above explaination, I dont have to file IT ?
Raj Kumar Makkad
(Expert) 13 March 2013
You need to file IT return in India in the given case but there is no need to show the rental income in your return as the same is being received by your father being landlord of the property. Landlord and landowner are two distinct authorities.
Info Seeker
(Querist) 14 March 2013
Please advise the procedure for filing it.
as i have not filed since 2006 , will i be penalized for not filing ?
Raj Kumar Makkad
(Expert) 14 March 2013
As you earning from Indian properties so you are required to file it as NRI in specific format. Engage CA or this purpose.
Info Seeker
(Querist) 14 March 2013
Thanks for Info to Mr. Makkad and Mr Singh
CA Ayush Agrawal
(Expert) 14 March 2013
Dear NRI,
In case of individuals qualifying as NR/NOR, only income received/deemed to be received/accrued or arisen/deemed to accrue or arise in India is taxable in India. However, for individuals qualifying as ROR, the worldwide income comes within the ambit of taxation in India,"
NRIs/expatriates should evaluate their residential status based on the number of days of their physical stay in India. "If they qualify as 'Ordinarily Residents', they should also prepare a list of their assets outside India,"
They should also evaluate the correct forms that they can use for filing tax returns online. If their income is above 10 lakh, they can file returns in ITR 1 (SAHAJ), ITR 2, ITR 3, ITR 4S (SUGAM) or ITR 4. However, if they are 'Ordinarily Residents' and have foreign assets, they cannot use the SAHAJ and SUGAM forms.
"After filing the return online, they should ensure that the acknowledgment (ITR-V) is signed in blue ink and sent within 120 days to the Central Processing Centre at Bengaluru," he adds.
NRIs should ensure that the agency they use for mailing the signed ITR-V form can actually deliver it to the Post Box Number. Courier agencies cannot deliver documents to a Post Box Number.
"An alternative for them could be to send it to their family members in India by courier. The family member in turn can post the signed document to the Post Box Number assigned to the CPC.
Any Other Query, Pls Revert.
Regards,
CA Ayush Agrawal
http://ayushagrawal.caclubindia.com
CA Ayush Agrawal
(Expert) 14 March 2013
I Suggest You to First Calculate Your Number of Days Since You Have Not Provided With the Numericals Details.
This Chart is for You:-
Tax assessees may be resident or non-resident. Residents are further subdivided into two sub-categories - (a) resident and ordinarily resident, and (b) resident but not ordinarily resident. To determine which category you fall into, apply the following tests to the tax year from April 1 to March 31.
Resident
A Resident is one who falls into either of these two categories:
Is in India for 182 days in the year or more, OR
In the preceding four years was in India for 365 days or more, and in the current tax year is in India for a total of 60 days or more
This applies to citizens of any nationality. However the period of 60 days in the second clause above will be extended to 182 days for those who fall into one of these two categories:
an Indian citizen who left India in any year for employment outside India, OR
an Indian citizen or a foreign citizen of Indian origin (NRI), who is outside India, comes on a visit to India
Non-Resident
A tax assessee is non-resident if he or she is not a Resident as-per the section above.
Resident but Not Ordinarily Resident
A Resident is "not Ordinarily Resident" if he or she fulfils either of these two conditions:
Has been a Non-Resident in India for 9 out of 10 preceding years, OR
During the 7 preceding years been in India for a total of 729 days or less
Info Seeker
(Querist) 14 March 2013
In my case, the last visit to india was sept 2011.
CA Ayush Agrawal
(Expert) 14 March 2013
Looking Towards Facts, You are Non Resident.
Owner is a person who is entitled to receive income from property in his own right. Income is chargeable in the hands of person even if he is not a registered owner.
Dividend from equity oriented MF is tax free Dividend income from Debt oriented Mutual Fund is also tax free
CA Ayush Agrawal
(Expert) 14 March 2013
All the NRI are required to file income tax return if they satisfy either of these conditions:
The taxable income in India during the previous year was above the basic exemption limit
Have earned short-term or long term capital gains from sale of certain investments and assets, even if the gains are less than the basic exemption limit.
Due Date of Filing Income Tax Return for an NRI - The due date of filing income tax return for the financial year 2012-13 is 31st July 2013.
The last date to file returns for the financial year is July 31st. However following must be considered:
In case if tax payable is nil that is all tax has been deducted at source, individual can still file tax return within 2 years from the end of the financial year without any penalties.
In case if tax payable is nil, individual can still file belated returns within 2 years from the end of financial year but he/she will be charged an interest of 1% per month for every month of delay starting from the due date of filing return till the time returns under section 234A is filed by the individual.
In case if individual do not file his/her tax returns at all, then he/she may be charged a penalty of Rs 5,000 for every year of delay under section 271F.
There are several other consequences like individual cannot revise a return that was filed late and may also lose out on interest receivable on refund for the period of delayed filing.
CA Ayush Agrawal
(Expert) 14 March 2013
Now Any Other Confusion Left in Your Mind, Revert me.
Regards,
CA Ayush Agrawal
http://ayushagrawal.caclubindia.com
Raj Kumar Makkad
(Expert) 15 March 2013
Well advised by Ayush Agarwal. Thanks a lot for clarification of many relevant rules which at least I was unaware.
