Circular 11 of 2020, dated 08-05-2020
Various representations have been received by the Central Board of Direct Taxes (CBDT) stating that due to declaration of the lockdown and suspension of international flights owing to outbreak of Novel Corona Virus (COVID-19), many individuals who had come on a visit to India, are required to prolong their stay in India. Concerns have been expressed that this extra stay in India may make them a resident of India under section 6 of the Income-tax Act, 1961.
In order to avoid genuine hardship in such cases, the CBDT has granted following reliefs while determining residential in respect of individuals who has come to India on visit before March 22, 2020:
a) Individual who has been unable to leave India on or before 31st March, 2020, his period of stay in India from 22nd March, 2020 to 31st March, 2020 shall not be taken into account.
b) Individual has been quarantined in India on account of Covid-19 on or after March, 2020 and has departed on an evacuation flight on or before 31st March, 2020 or has been unable to leave India on or before 31st March, 2020, his period of stay from the beginning of his quarantine to his date of departure or 31st March, 2020, as the case may be, shall not be taken into account.
c) Individual who has departed on an evacuation flight on or before 31st March, 2020, his period of stay in India from 22nd March, 2020 to his date of departure shall not be taken into account.
Various representations have been received by the Central Board of Direct Taxes (CBDT) stating that due to declaration of the lockdown and suspension of international flights owing to outbreak of Novel Corona Virus (COVID-19), many individuals who had come on a visit to India, are required to prolong their stay in India. Concerns have been expressed that this extra stay in India may make them a resident of India under section 6 of the Income-tax Act, 1961.
In order to avoid genuine hardship in such cases, the CBDT has granted following reliefs while determining residential in respect of individuals who has come to India on visit before March 22, 2020:
a) Individual who has been unable to leave India on or before 31st March, 2020, his period of stay in India from 22nd March, 2020 to 31st March, 2020 shall not be taken into account.
b) Individual has been quarantined in India on account of Covid-19 on or after March, 2020 and has departed on an evacuation flight on or before 31st March, 2020 or has been unable to leave India on or before 31st March, 2020, his period of stay from the beginning of his quarantine to his date of departure or 31st March, 2020, as the case may be, shall not be taken into account.
c) Individual who has departed on an evacuation flight on or before 31st March, 2020, his period of stay in India from 22nd March, 2020 to his date of departure shall not be taken into account.
No comments:
Post a Comment