NRI tax filing in India

For Indian income tax, an individual’s treatment depends on residential status for the tax year. It is determined under section 6 of the Income-tax Act, 2025 from the number of days spent in India in the tax year and in the preceding years. Citizenship, an OCI card or a foreign passport does not by itself decide it.

Residence under the Income-tax Act is separate from residence under the Foreign Exchange Management Act, 1999 (FEMA). An individual can be treated differently under the two laws. See Foreign remittance and FEMA.

A non-resident is generally taxed in India on income that is received in India, or accrues or arises in India, or is deemed to do so. Income earned and received outside India is generally outside the Indian tax net for a non-resident, but the facts of each case should be examined.

Section 263 of the Income-tax Act, 2025 sets out who must furnish a return of income. For an individual, a return is required where total income for the tax year, computed without giving effect to the provisions on tax deduction at source and to certain deductions, exceeds the maximum amount not chargeable to income-tax. A return is also needed to carry forward a loss under the head “Profits and gains of business or profession” or “Capital gains”.

A return is commonly filed even where it is not compulsory, for example to claim a refund of tax deducted at source or to claim relief under a Double Taxation Avoidance Agreement (DTAA).

The due date for most individuals is 31 July after the end of the tax year. It is 31 October where accounts are required to be audited. A return can be furnished late within nine months from the end of the tax year, a revised return within the same period, and an updated return within 48 months from the end of the financial year following the tax year, subject to the conditions in section 263. Please confirm the dates currently notified before relying on them.

Official text: Section 263, Income-tax Act, 2025 ↗