Residential status are classified under two categories:
1) Resident
2) Non- Resident
However, in case of Individuals and Hindu Undivided families (HUFs) the category Resident is further divided into two categories:
3) Resident & Ordinarily Resident (ROR)
4) Resident But Not Ordinarily Resident (RNOR)
Determining Status
1) Resident :
An Individual is said to be Resident in INDIA if he/she satisfied atleast one condition of the following two:
i) He/She has stayed in india for 182 Days or more in the P.Y (Previous Year)
OR
ii) He /she has stayed in INDIA for 60 Days in previous year plus has stayed for 365 days in four preceding the previous year
if he/she doesn't stayed above , then he /she will be treated as Non - Resident
2) Non Resident :
Non Resident means, any person who is not a Resident
Means an individual who satisfied none of the condition (i or ii) stated under "RESIDENT"
3) Resident & Ordinarily Resident (ROR)
An individual is said to be Resident & Ordinarily Resident (ROR) in INDIA if he/she satisfied atleast ONE the basic condition (i or ii)
stated under "RESIDENT" along with BOTH THE ADDITIONAL CONDITION (iii and iv) stayed below :
iii) He/she has stayed in INDIA for atleast 2 years out of 10 years preceding the P.Y (Previous Year)
AND
iv) He/she has steyed in INDIA for 730 Days during the 7 years preceding the P .Y (Previous Year)
4) Resident & Not Ordinarily Resident :
An individual is said to be Resident But Not Ordinarily (RNOR) in INDIA if he/she satisfies atleast one of the basic condition (i or ii) stayed under "RESIDENT"
but doesn't satisfy any ADDITIONAL CONDITIONS (iii and iv) stated under "RESIDENT & ORDINARILY RESIDENT "
Special Category individual :
Special category individual are given special concessions while calculating his / her Residential status such special category individula are those who,
Leaves india as crew member of an indian ship or
Leaves india for taking employment outside india or
Being outside india, he/she comes on a visit to india
In such case individual is deemed to be a person of tndial orgin, only if he/she, or either of his parent or any of his grandparents were born in undivided india ( before
the partition of india)
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if he doesn't satisfy the first Basic Condition (i.e. stays in india for less then 182 days) then he/she will be treated as Non - Resident
Examples NO. 1
What is the Residential status of Mr. Rahul who does not satisfies the BASIC CONDITIONS (i or ii )
SOLUTION : Mr Rahul is Non - Resident
Examples NO. 2
What is the Residential Status of Mr. Rahul who doesn't satisfies the BASIC CONDITIONS (i or ii) but satisfies only ONE the ADDITIONAL CONDITIONS (i.e condition iii)
SOLUTION : Mr Rahul is Non - Resident
Examples NO. 3
What is the Residential Status of Mr. Rahul who doesn't satisfies the BASIC CONDITIONS (i or ii) but satisfies only both the ADDITIONAL CONDITIONS (iii or iv) ?
SOLUTION : Mr Rahul is Non - Resident
Examples NO. 4
What is the Residential Status of Mr. Rahul who satisfies only ONE BASIC CONDITIONS (i or ii) and satisfies both the ADDITIONAL CONDITIONS (iii or iv) ?
SOLUTION : Mr Rahul is Resident & Ordinarily Resident
Examples NO. 5
What is the Residential Status of Mr. Rahul who satisfies BOTH the BASIC CONDITIONS (i and ii) and satisfies both the ADDITIONAL CONDITIONS (iii or iv) ?
SOLUTION : Mr Rahul is Resident & Ordinarily Resident
Examples NO. 6
What is the Residential Status of Mr. Rahul who satisfies BOTH the BASIC CONDITIONS (i and ii) and satisfies ONLY ONE of the two ADDITIONAL CONDITIONS (i.e.iii) ?
SOLUTION : Mr Rahul is Resident & Not Ordinarily Resident
Examples NO. 7
What is the Residential Status of Mr. Rahul who satisfies BOTH the BASIC CONDITIONS (i and ii) But doesn't satisfies any ADDITIONAL CONDITIONS (i.e.iii or iv) ?
SOLUTION : Mr Rahul is Resident & Not Ordinarily Resident
