Tax alert: Taking up employment outside India to include business or profession, for determining residential status has been saved
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Tax alert: Taking up employment outside India to include business or profession, for determining residential status
2 April 2024
The Mumbai Bench of the Income-tax Appellate Tribunal (ITAT) has rendered its decision that leaving India for the purposes of ‘employment outside India’ would also include leaving India for business or profession, for determining residential status of a taxpayer under Explanation 1(a) to section 6(1) of the Income-tax Act, 1961. Accordingly, even if the taxpayer went to Mauritius as an investor in a Mauritian company, the taxpayer was entitled to claim the benefit of the extended period of 182 days.
