Section 4 - Amendment of section 6. - Finance Act, 2020

Amendment of section 6. 4. In section 6 of the Income-tax Act, with effect from the 1st day of April, 2021, (a) in clause (1), in Explanation 1, in clause (b), for the words substituted occurring at the end, the words substituted and in case of the citizen or person of Indian origin having total income, other than the income from foreign sources, exceeding fifteen lakh rupees during the previous year, for the words sixty days occurring therein, the words one hundred and twenty days had been substituted; (b) after clause (1), the following clause shall be inserted, namely: (1A) Notwithstanding anything contained in clause (1), an individual, being a citizen of India, having total income, other than the income from foreign sources, exceeding fifteen lakh rupees during the previous year shall be deemed to be resident in India in that previous year, if he is not liable to tax in any other country or territory by reason of his domicile or residence or any other criteria of similar nature; (c) in clause (6), in sub-clause (b), for the words days or less occurring at the end, the following shall be substituted, namely:- days or less; or (c) a citizen of India, or a person of Indian origin, having total income, other than the income from foreign sources, exceeding fifteen lakh rupees during the previous year, as referred to in clause (b) of Explanation 1 to clause (1), who has been in India for a period or periods amounting in all to one hundred and twenty days or more but less than one hundred and eighty-two days; or (d) a citizen of India who is deemed to be resident in India under clause (1A). Explanation .-For the purposes of this section, the expression income from foreign sources means income which accrues or arises outside India (except income derived from a business controlled in or a profession set up in India).