This Article explains on services
given outside India by a person doing Job outside India and if the Income
received by him outside India is taxable in India.
This
was observed in the case law given by CALCUTTA HIGH COURT in Utanka Roy vs. Director of Income tax
(Judgment Date 15th Dec 2016)
The
assessee Utanka Roy was working as a Marine
Engineer and had rendered services as such to a foreign shipping company.
The
issue was if the income is taxable in India if it is transferred to an Indian Bank Account by the assessee.
As
per the decision of the high court in this case it states that income accruing
or arising outside India shall not be deemed to be received in India. The
purpose of finding out the place of accrual of the income, the place where the
services have been rendered becomes material and the receipt of such income
after accruing outside India is immaterial.
Therefore,
Income accrued outside India and received in India by NRI is not taxable in
India.
Disclaimer: We are not liable for
any decision taken on the basis of the
above article. Please consult your chartered accountant.