CV

CA Intermediate · Taxation (Income Tax + GST)

Basics & Residential Status (Income Tax)

Chapter 1 · 2 formulas · 4 exam-critical pointers

Core concepts

  1. 01Income Tax Act 1961 — Assessee, Previous Year, Assessment Year, total income.
  2. 02Residential status determines scope of total income (Sec 5, 6).
  3. 03Individual ROR if: in India ≥182 days in PY OR ≥60 days in PY + ≥365 days in 4 preceding PYs.
  4. 04Deemed resident (Sec 6(1A)) — Indian citizen with income >₹15 lakh and not liable to tax elsewhere.
  5. 05Income deemed to accrue in India: salary for services in India, business connection, capital asset in India.

Flowchart

Residential Status (Individual) | Basic conditions met? | +-- Yes --> Resident | | | Additional conditions: ROR or RNOR | +-- No --> Non-Resident

Exam-critical pointers

  • AY 2025-26 corresponds to PY 2024-25.
  • Crew of Indian ship: count of days adjusted (continuous discharge certificate).
  • Indian citizen leaving India for employment: 182 days threshold (not 60).
  • Section 6(1A) ROR-from-Sec-6(6) test introduced from AY 2021-22 onwards.

Make it click