Definition of Non-Resident |
The term 'Non-Resident refers to a person who is not resident in India . Following the repeal of the Foreign Exchange Regulation Act 1973 (FERA), there are two clear but separate definitions - one under the Foreign Exchange Management Act 1999 (FEMA), and the other under the Income Tax Act 1961. |
Under the Foreign Exchange Management Act (FEMA) |
The Foreign Exchange Management Act 1999 (FEMA), replaced the Foreign Exchange Regulation Act (FERA) with effect from June 1, 2000 . Sections 2 (v) and 2 (w) of this Act have the following definitions. |
Person resident in India : |
- A Person residing in India for more than one hundred and eighty two days during the course of the preceding
financial year but does not include:
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A person who has gone out of India or stays outside India , in either case
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- For or on taking up employment outside India , or
- For carrying on a business or vocation outside India , or
- For any other purpose in such circumstances as would indicate his intention to stay outside India for an uncertain period.
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A person who has come to India or stays in India , in either case other than: |
- For or on taking up employment in India , or
- For carrying on a business or vocation in India , or
- For any other purpose in such circumstances as would indicate his intention to stay in India for an uncertain period:
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Any person or corporate body registered or incorporated in India . |
An office, branch or agency in India owned or controlled by a person resident outside India . |
An office, branch or agency in India outside India owned or controlled by a person resident in India . |
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A person resident outside India |
A person who is not resident in India i.e. a person who stays outside India or has otherwise gone out of India . |
(a) for or on taking up employment outside India , or
(b) for carrying on a business or vocation outside India , or
(c ) for any other purpose, in such circumstances as would indicate his intention to stay outside India for an uncertain period. |