• Income tax for American citizen with OCI and residence in India

Hello, 

I am an American citizen and plan to marry an Indian citizen. I would be predominately living in India but earning income in the US through work from home, so I would need to pay taxes in the United States. However, I would like to eventually get an OCI card to make living in India with my future spouse easier. 

My questions are: 

1) If I am an American citizen with an OCI card living in India for roughly 10 months of the year, will I have to pay income tax in India? 

2) If answer to 1 is yes, will I need to pay on my global earnings (i.e. money earned through virtual work with a US-based company and any Indian earnings) or just on Indian earnings? 

3) If I have to file income taxes in India on all of my global earnings, would I be eligible for any program for double tax relief in order to decrease the tax burden in India?
Asked 11 hours ago in Income Tax

Scope of total income and incidence of tax depends on the residential status of an individual in a previous year

1. Yes

2. Global income

3. Yes 

 

For detailed discussion you may opt for phone consultation

 

Vivek Kumar Arora
CA, Delhi
5003 Answers
1133 Consultations

You will be a Resident in India, irrespective of citizenship. Hence, you'll have to offer your income earned in India as well as globally. You'll get Double Taxation Relief as per DTAA. 

B Vijaya Kumar
CA, Hyderabad
1028 Answers
124 Consultations

Ask a Chartered Accountant

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