Swetha, a citizen of India, is a chartered accountant. She is a working partner in Swetha and Varun Associates, which was set up in Chennai, India.…

(i) She did not visit India during the F.Y. 2024-25 Swetha is a citizen of India who is not liable to tax in Country A. She will be a deemed resident under section 6(1A) if her total income, other than the income from foreign sources, exceeds 15lakhs during the previous year. Computation of total income, other than the income from foreign sources Particulars ₹ Remuneration from CA firm as partner [Accrued or arisen in India] 16,00,000 Income from providing accounting services in Country A and received in Country A [Income from a foreign source, hence, to be excluded] - Dividend from companies incorporated in Country A and received in Country A [Income from a foreign source, hence, to be excluded] - Income from a business in Country A but controlled from Chennai (To be included since the business is controlled from India, even though such income accrued and received outside India) 7,00,000 Total income (excluding income from foreign sources) 23,00,000 Since Swetha has total income excluding income from foreign sources exceeding 15lakhs, she is a deemed resident and resident but not ordinarily resident in India by default. Her total income would be 23lakhs as computed above. (ii) She visits and stays in India for 200 days every year since 12 preceding years including F.Y. 2024-25 Swetha is a resident in India since she stayed in India for 182 days or more during the P.Y. 2024-25. She is a resident and ordinarily resident in India since her stay in 7 previous years immediately preceding the P.Y. 2024-25 exceeds 729 days and she is resident in 2 or more previous years out of 10 previous years preceding P.Y. 2024-25. In such case, her global income is taxable in India. Accordingly, her total income would be as follows: Particulars ₹ Remuneration from CA firm as partner 16,00,000 Income from providing accounting services in Country A and received in Country A 5,00,000 Dividend from companies incorporated in Country A and received in Country A 8,00,000 Income from a business in Country A but controlled from Chennai 7,00,000 Total income 36,00,000 (iii) She did not visit India during the P.Y. 2024-25 and her income from profession in India is 4lakhs instead of 16lakhs. In such case, Swetha's total income excluding income from foreign sources would be 11lakhs (4lakhs +7 lakhs) which is not exceeding 15lakhs. Accordingly, she will be a non-resident in India during the P.Y. 2024-25. Her total income would be 4lakhs comprising of income from profession only.