Deemed resident

Mr Jai Chand (an Indian citizen) left India for employment in country X on 5th June 2015. He regularly visited

India and stayed for 60 days in every year since then. However, in FY 2023-24, he did not come to India at all. He

owns a commercial building in Delhi which is let out. He has also set up a retail store in India which is controlled

by his brother from India. He provides the following information to you regarding his income for FY 2023-24:

Income from commercial building in Delhi (computed as per the provisions of the Act) ₹ 12,00,000

Income from the retail store (computed as per the provisions of the Act) ₹ 4,50,000

Country X does not tax any individual on their income as there is no personal income-tax regime there. Determine

the residential status of Mr Jai Chand for Assessment Year 2024-25.

Will your answer change if he is a citizen of Country X ?

The answer says in both the cases, he is a non-resident.

But as per me in both the cases, he should be treated as deemed resident in both the cases as his income is more than 15 lakhs and he is not liable to be taxed in country X.