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2017 (5) TMI 774 - AT - Income TaxDetermination of residential status of assessee - Resident v/s not resident - period of stay in India - business activity in India - status of the assessee - Held that:- Relaxation of period of 60 days as per section 6(1)(a) to 182 days when employment is taken outside India as per clause (a) of Explanation 1 is applicable only "in relation to that year" i.e. the year in which employment is taken outside India. Thereafter, for subsequent years, the residential status has to be seen as per the provisions of clause (b) to Explanation 1 since owing to employment/self-employment the assessee is "being outside India". In the instant case the assessee is having a special visa type allowing him to work in the UK and the fact that he is working abroad in the UK as a retainer-cum-incentive basis in the year under consideration has also not being doubted by either the Assessing Officer or by the learned Commissioner of Income-tax (Departmental representative). The Assessing Officer has also not doubted the submissions made by the assessee that it has not rendered any services in India with regard to its overseas assignments during visits to India and further that no business activity is being carried on by assessee in India. The basic document which would show intention of assessee is his passport. In the instant case copies of visa's issued by the UAE and the UK have been placed on record of the Assessing Officer. The Assessing Officer has noted in his order that "in the present case, the assessee is a citizen of India. Assessee is on Indian pass port. For Dubai or the UK he might be having some special visa" however after noting as such undue importance has thereafter been given by the Assessing Officer to the economic/legal presence of the assessee in India. Thus no reason to interfere with the finding of CIT(Appeals) directing the Assessing Officer to assess the assessee as a "non- resident". - Decided in favour of assessee Deletion of addition made by the learned Assessing Officer being the total amount remitted by the assessee in India therefore does not warrant an interference and we are inclined to uphold the same
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