u/No_Lawyer5865

Hi everyone, long-time lurker here. Would really appreciate some advice from those who've been through the NRI→resident transition.

Background: NRI since 2015, returned in FY2025-26. Never filed Indian ITR (assumed no obligation as NR).

Days in India:

· 2015–2022: under 50 days every year
· FY22-23: 179
· FY23-24: 311
· FY24-25: 135
· FY25-26: 205

My read:

· FY22-23: NR (under 182, visiting NRI rule applies and 729 days rule)
· FY23-24: Resident (likely RNOR)
· FY24-25: Tricky – NR if Indian-source income < ₹15L, Resident if > ₹15L (120-day rule kicks in)

Big question: For the ₹15L threshold, does US salary for work done while physically in India count as "Indian-source income"? Or is it only rent/domestic income?

FY25-26: If FY24-25 is Resident → 2 out of 10 years → ROR → global income taxed. If NR → stay RNOR.

Questions:

1. Does US salary (for India workdays) count toward the ₹15L trigger?
2. If I only file FY25-26 now, will that invite scrutiny for FY22-23 & FY23-24? What's the penalty/interest risk if I skip those? (I plan to file them all eventually.)

Thanks in advance!

Hi everyone, long-time lurker here. Would really appreciate some advice from those who've been through the NRI→resident transition.

Background: NRI since 2015, returned in FY2025-26. Never filed Indian ITR (assumed no obligation as NR).

Days in India:

· 2015–2022: under 50 days every year
· FY22-23: 179
· FY23-24: 311
· FY24-25: 135
· FY25-26: 205

My read:

· FY22-23: NR (under 182, visiting NRI rule applies and 729 days rule)
· FY23-24: Resident (likely RNOR)
· FY24-25: Tricky – NR if Indian-source income < ₹15L, Resident if > ₹15L (120-day rule kicks in)

Big question: For the ₹15L threshold, does US salary for work done while physically in India count as "Indian-source income"? Or is it only rent/domestic income?

FY25-26: If FY24-25 is Resident → 2 out of 10 years → ROR → global income taxed. If NR → stay RNOR.

Questions:

1. Does US salary (for India workdays) count toward the ₹15L trigger?
2. If I only file FY25-26 now, will that invite scrutiny for FY22-23 & FY23-24? What's the penalty/interest risk if I skip those? (I plan to file them all eventually.)

Thanks in advance!

Hello everyone, I’m a returning NRI (Indian citizen) who was working in the US. For FY 2025-26, I stayed in India for 207 days, which makes me a Resident.

I thought I might qualify for RNOR status to protect my US income from Indian tax, but my CA says I'm ROR because:
• 9-out-of-10-year rule: I was NR in only 8 out of 10 previous years (need 9).
• 729-day rule: My stay in the 7 preceding years is 776 days (47 days over the limit).

So my US salary (~$150k) + Indian income (~₹6L) is fully taxable in India.
Gross Indian tax liability (including surcharge + cess): ~₹47L
US tax already paid: ~₹16.5L (can claim as Foreign Tax Credit)
Net tax payable: ~₹30.5L

Questions:

1. Has anyone been in a similar situation, over the 729-day limit? 
2. My CA says RNOR is not possible. Is there any chance of reclassification?
3. Any legal strategies to reduce the tax burden at this stage (besides FTC and choosing Old Regime)?
4. What happens if I can't pay the full amount by July 31? Can I request installment payments from the Assessing Officer?

Already planning to claim FTC via Form 67 and file ITR-2. Just trying to see if there's any hope or if I should just accept it and pay.

Thanks in advance!