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CONCEPT OF RESIDENCE
B I
I C ICAID : 5 2014
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I I 5
I A A I
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II
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I I
B I
B I
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Under the Income Tax Act1961
2(30)
Under the Double TaxationAvoidance Agreement
A 4(1) G
6(1) 6(4)
6(6)
( )
A 4(2) I
A 4(3)
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Residence as per theIncome Tax Act 1961
Section 6(1) to Sec 6(4)
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Basic Tests of residence for an Individual
An Individual is said to be resident in India in any previous year, if he
a) Is in India in that year for a period or periods amounting in all to182 days or more
OR
c) Having within the four years preceding that year been in India for a
period or periods amounting in all to 365 days or more, is in Indiafor a period or periods amounting in all to 60 days or more in thatyear.
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0 365 60 182
C ( ) ( ) .
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Explanation In the case of an Individual, being a citizen of India
a) Who leaves India in any previous year, as a member of the crew of Indian ship or for the purpose of employment outside India, theprovisions of clause (c) shall apply as if for the words sixty days
occurring there in, the words one hundred and eighty two hasbeen substituted.
b) Or a Person of Indian origin, who being outside India, comes on a
visit to India in any previous year, the provisions of clause (c) shallapply as if for the words sixty days occurring there in, the wordsone hundred and eighty two has been substituted.
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.
1 6(1)( )
I ? : B G I 285 I 218 (AA )
2
??
: . 62 167. A 337 I 350
3
I ?? : A 362 I 38 (AA )
34 180 ( )
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, ,,
C
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Supreme Court in Subbayya Chettiar Vs CIT 19 ITR 168 held asfollows,Control and Management signifies the controlling and directivepower, the head and brain; and situated implies the functioning of suchpower at a particular place with some degree of permanence.
Further the Supreme Court held that Control and Management meansde facto control and management and not merely the right to power tocontrol and management.
In the case of company, place of control and management means theplace where the directors meetings are held.
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.
1
I , H F .
: A I 34 I 88
2
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, .
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Residence as per ModelTax Convention (MTC)
OECD Model Article 4
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F C ,
C , , ,
.
, ,
.
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8.6 ECD C A I .
.
E F
C C
G E 100 I D 206
A B A
263 I 706 ( C)DI (I ) ICICI B ( HC)49 . 1 (2014)
A 276 I 306
G E
280 I 125 (AA )
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I C ,
H
H H E
E (C I)
H A
A
IDE
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D C I H .
F , (C
,
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A . B17
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, 1,
C E ( E ) .
E
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A E .
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F C , C ,
, , , , ,
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( )
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A 4 (3) , 1,
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2 A 10 (D ), A 26 ), A 27 ( A ), A 28 (E I) A
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(4) , 1,
C , C
C
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( ) F C , "C " ,
, , ., , ,
. / . . . / /
( )F A , "C " C
.
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I , . I .
I , ??
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A 1 : C C .
A 3 : " " , ,
C ;
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A 4 :F C , " C " ,
, , ,
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) ; ) ,
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ECD ( 40) . H , .
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I I, 40 51,
.
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CC . 789 13/4/2000
90(4) I A 1961
A B A C
B C
. .A
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Thank youE. C
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