Determine whether you are Resident and Ordinarily Resident (ROR), Resident but Not Ordinarily Resident (RNOR), or Non-Resident under the Income Tax Act 2025. Answer one question at a time.
For individuals only. HUF, companies, and other entities (Sections 6(9)–6(11)) are out of scope. Verify with a CA before filing, especially for complex cross-border situations.
What is your citizenship / origin?
Section 6(2)–6(7) apply differently depending on whether you are an Indian citizen, PIO, or foreign national.
Section 6 of the Income Tax Act 2025 is identical in structure to Section 6 of the 1961 Act — the section numbers referenced in legal documents, court orders, and professional advice remain Section 6. The critical concept is that your residential status determines the scope of what India can tax, not just the rate.
Three possible statuses
Resident and Ordinarily Resident (ROR), Resident but Not Ordinarily Resident (RNOR), or Non-Resident — each with different tax implications on foreign income.
182-day primary test
You are Resident if physically present in India ≥ 182 days in the tax year [Section 6(2)(a)]. If that fails, a secondary 60-day test applies — subject to exceptions for Indian citizens and PIOs.
Anti-avoidance: Section 6(7)
High-income Indian citizens (> ₹15 lakh, excl. foreign sources) who are not liable to tax anywhere are deemed Resident under Section 6(7) — always RNOR, never ROR.
| Income type | ROR | RNOR | Non-Resident |
|---|---|---|---|
| India-source income (salary, house property, etc.) | ✓ Taxable | ✓ Taxable | ✓ Taxable |
| Business income from India-controlled business | ✓ Taxable | ✓ Taxable | ✓ Taxable |
| Profession income from India-set-up profession | ✓ Taxable | ✓ Taxable | ✓ Taxable |
| Foreign salary / pension | ✓ Taxable | ✗ Exempt | ✗ Exempt |
| Foreign bank interest / dividends | ✓ Taxable | ✗ Exempt | ✗ Exempt |
| Capital gains on foreign assets | ✓ Taxable | ✗ Exempt | ✗ Exempt |
| Foreign rental income | ✓ Taxable | ✗ Exempt | ✗ Exempt |
DTAA (Double Taxation Avoidance Agreement) relief may apply to reduce or eliminate tax on income that is taxable in both India and another country.
Primary test: Section 6(2)
Resident if ≥ 182 days in India [6(2)(a)], OR if ≥ 60 days this year AND ≥ 365 days over the prior 4 years [6(2)(b)]. The 60-day test is raised to 120 days for high-income citizen/PIO visitors [6(5)] and disabled entirely for others [6(3), 6(4)].
Anti-avoidance: Section 6(7) — only if NOT resident under Step 1
Section 6(8) mandates this step is skipped if already resident under 6(2)–6(6). If not resident: an Indian citizen with income > ₹15 lakh and no foreign tax domicile is DEEMED Resident — always RNOR per 6(13)(c).
ROR vs RNOR: Section 6(13) — only for Residents
A Resident is RNOR if: (a)(i) was NR in 9+ of last 10 years; OR (a)(ii) spent ≤ 729 days in India over last 7 years; OR (b) citizen/PIO visitor with income > ₹15L and 120–181 days; OR (c) deemed resident under 6(7). Otherwise: ROR.
Non-Resident: Section 6(1)
If neither Step 1 nor Step 2 apply, the individual is Non-Resident for the tax year.