India Clarifies Tax Residency Rules for Stranded Travelers

May 8, 2020, 9:27 PM UTC

Individuals who were unintentionally stuck in India for a certain period of time during the coronavirus pandemic won’t trigger residency requirements for taxation, the government announced Friday.

  • If an individual arrived in India before March 22 and couldn’t leave before March 31 due to canceled flights, the person’s stay during that period won’t be taken into account in calculating their tax obligations, the Finance Ministry said in a circular.
  • If someone who arrived after March 22 left the country on an evacuation flight on or before March 31, the period of stay between March 22 and 31 also won’t be taken into account, the announcement said.
  • And if an individual was quarantined for Covid-19 in India on or after March 1 and either left on a flight on or before March 31, or was unable to, the period of time the person was quarantined up to either their departure date or March 31 won’t be taken into account.

Check out Bloomberg Tax’s country-by-country roadmaps covering direct and indirect tax developments.


To contact the reporter on this story: Isabel Gottlieb in Washington at igottlieb@bloombergtax.com

To contact the editors responsible for this story: Meg Shreve at mshreve@bloombergtax.com; David Jolly at djolly@bloombergtax.com

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