• Tax on UAE Free Zone Company Owned by Indian who lives in India

Hypothetically - I'm an Indian I started a Rakez Free Zone company in UAE, I own 100% of it, I am currently not taking any money from the company in India, it's all kept there in UAE.

Expected Annual profits are 5-10CR. Do I need to disclose this in my Indian ITR? If yes what this might cause about my tax? If I don't is that a crime, what can happen?

In the future, if I want to take money from my UAE company as a salary while I'm in India will it cause any issues?

I do not want to stay in UAE for 183 days and become an NRI, i would prefer staying there for 2-3 weeks per year, I plan to stay there for 183 days and become NRI when i want to bring a lot of money tax free to india. 

Current plan is to live in India and take maybe some months income in india and pay taxes on that and coninue my ITR, the company stays there.

Let me know my option and your opinion please :)
Asked 3 years ago in Income Tax

- Being resident in India,you are required to disclose financial interest in an entity located outside India.

- Salary will be clubbed with other incomes and taxed accordingly.

Vivek Kumar Arora
CA, Delhi
4951 Answers
1105 Consultations

Ask a Chartered Accountant

Get tax answers from top-rated CAs in 1 hour. It's quick, easy, and anonymous!
  Ask a CA