Residential status is dynamic and needs fresh determination for each financial year. Residential status in India is determined based on physical presence in India in the current financial year (FY) and the preceding 10 FYs.
If the individual satisfies any of the basic conditions mentioned below, the individual would qualify as a resident; otherwise he or she would qualify as a non-resident.
Basic conditions:
(a) Physical presence in India during the relevant FY is 182 days or more; or
(b) Physical presence in India during the relevant FY is 60 days or more and 365 days or more in the preceding 4 FYs. The period of 60 days is substituted by 182 days in the following circumstances:
(i) For a citizen of India, who leaves India in the relevant FY for the purpose of employment outside India or as a member of the crew of an Indian ship; or
(ii) For a citizen of India or a person of Indian origin, who being outside India, comes on a visit to India during the relevant FY.
