Taxation of Expatriates
Trends in India
The employment of expatriates and foreign nationals involves several complex issues. Whist the Indian economy and market place has generally been less attractive to expatriates and foreign workers, they are still employed to provide training and development to local employees, for technology transfer, compliance of joint ventures and license agreements and so on. With the liberalization of the Indian economy in the early nineties and subsequent entry and establishment of many multinational companies, the need to employ expatriates and foreign nationals became more obvious.
Generally in multinational companies, expatriates and foreign nationals are engaged in key and higher level positions. When a foreign company sets up a business operations in India, the management of these companies tends to seek the services of their own employees for management level positions.
Trends in India
The employment of expatriates and foreign nationals involves several complex issues. Whist the Indian economy and market place has generally been less attractive to expatriates and foreign workers, they are still employed to provide training and development to local employees, for technology transfer, compliance of joint ventures and license agreements and so on. With the liberalization of the Indian economy in the early nineties and subsequent entry and establishment of many multinational companies, the need to employ expatriates and foreign nationals became more obvious.
Generally in multinational companies, expatriates and foreign nationals are engaged in key and higher level positions. When a foreign company sets up a business operations in India, the management of these companies tends to seek the services of their own employees for management level positions.
Legislative restrictions
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Requirements
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa.
Procedure
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.
Legislative restrictions
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Requirements
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa.
Procedure
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.
Taxable Income Of Expatriates
The term ‘Expatriate Tax’ is not defined under the Income Tax Act, 1961. However, in general terms, expatriate means a person who is living outside the country of his origin or where a country of which he does not hold citizenship. He may be residing in another country temporarily or permanently which is generally dependent upon the conditions of the deputation where the word “deputation” means deputing or transferring an employee to a post outside his cadre on a temporary basis.
Under the Income Tax Act, 1961 the incidence of tax depends on the following:
- The residential status of taxpayer
- Provisions prevailing in the Assessment Year to which the incomes relate
- Whether the accrual/ receipt of such income has a nexus with India.
Taxable Income Of Expatriates
The term ‘Expatriate Tax’ is not defined under the Income Tax Act, 1961. However, in general terms, expatriate means a person who is living outside the country of his origin or where a country of which he does not hold citizenship. He may be residing in another country temporarily or permanently which is generally dependent upon the conditions of the deputation where the word “deputation” means deputing or transferring an employee to a post outside his cadre on a temporary basis.
Under the Income Tax Act, 1961 the incidence of tax depends on the following:
- The residential status of taxpayer
- Provisions prevailing in the Assessment Year to which the incomes relate
- Whether the accrual/ receipt of such income has a nexus with India.
Special provisions for foreigners
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Statutory deductions
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa. An Employment Visa is given only for jobs that require very high level of skills and expertise.
Expatriate remuneration
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.A valid passport.
Special provisions for foreigners
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Statutory deductions
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa. An Employment Visa is given only for jobs that require very high level of skills and expertise.
Expatriate remuneration
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.A valid passport.
Trends in India
The employment of expatriates and foreign nationals involves several complex issues. Whist the Indian economy and market place has generally been less attractive to expatriates and foreign workers, they are still employed to provide training and development to local employees, for technology transfer, compliance of joint ventures and license agreements and so on. With the liberalization of the Indian economy in the early nineties and subsequent entry and establishment of many multinational companies, the need to employ expatriates and foreign nationals became more obvious.
Generally in multinational companies, expatriates and foreign nationals are engaged in key and higher level positions. When a foreign company sets up a business operations in India, the management of these companies tends to seek the services of their own employees for management level positions.
Trends in India
The employment of expatriates and foreign nationals involves several complex issues. Whist the Indian economy and market place has generally been less attractive to expatriates and foreign workers, they are still employed to provide training and development to local employees, for technology transfer, compliance of joint ventures and license agreements and so on. With the liberalization of the Indian economy in the early nineties and subsequent entry and establishment of many multinational companies, the need to employ expatriates and foreign nationals became more obvious.
Generally in multinational companies, expatriates and foreign nationals are engaged in key and higher level positions. When a foreign company sets up a business operations in India, the management of these companies tends to seek the services of their own employees for management level positions.
Legislative restrictions
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Requirements
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa.
Procedure
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.
Legislative restrictions
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Requirements
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa.
Procedure
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.
Taxable Income Of Expatriates
The term ‘Expatriate Tax’ is not defined under the Income Tax Act, 1961. However, in general terms, expatriate means a person who is living outside the country of his origin or where a country of which he does not hold citizenship. He may be residing in another country temporarily or permanently which is generally dependent upon the conditions of the deputation where the word “deputation” means deputing or transferring an employee to a post outside his cadre on a temporary basis.
Under the Income Tax Act, 1961 the incidence of tax depends on the following:
- The residential status of taxpayer
- Provisions prevailing in the Assessment Year to which the incomes relate
- Whether the accrual/ receipt of such income has a nexus with India.
Taxable Income Of Expatriates
The term ‘Expatriate Tax’ is not defined under the Income Tax Act, 1961. However, in general terms, expatriate means a person who is living outside the country of his origin or where a country of which he does not hold citizenship. He may be residing in another country temporarily or permanently which is generally dependent upon the conditions of the deputation where the word “deputation” means deputing or transferring an employee to a post outside his cadre on a temporary basis.
Under the Income Tax Act, 1961 the incidence of tax depends on the following:
- The residential status of taxpayer
- Provisions prevailing in the Assessment Year to which the incomes relate
- Whether the accrual/ receipt of such income has a nexus with India.
Special provisions for foreigners
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Statutory deductions
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa. An Employment Visa is given only for jobs that require very high level of skills and expertise.
Expatriate remuneration
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.A valid passport.
Special provisions for foreigners
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Statutory deductions
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa. An Employment Visa is given only for jobs that require very high level of skills and expertise.
Expatriate remuneration
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.A valid passport.
Trends in India
The employment of expatriates and foreign nationals involves several complex issues. Whist the Indian economy and market place has generally been less attractive to expatriates and foreign workers, they are still employed to provide training and development to local employees, for technology transfer, compliance of joint ventures and license agreements and so on. With the liberalization of the Indian economy in the early nineties and subsequent entry and establishment of many multinational companies, the need to employ expatriates and foreign nationals became more obvious.
Generally in multinational companies, expatriates and foreign nationals are engaged in key and higher level positions. When a foreign company sets up a business operations in India, the management of these companies tends to seek the services of their own employees for management level positions.
Trends in India
The employment of expatriates and foreign nationals involves several complex issues. Whist the Indian economy and market place has generally been less attractive to expatriates and foreign workers, they are still employed to provide training and development to local employees, for technology transfer, compliance of joint ventures and license agreements and so on. With the liberalization of the Indian economy in the early nineties and subsequent entry and establishment of many multinational companies, the need to employ expatriates and foreign nationals became more obvious.
Generally in multinational companies, expatriates and foreign nationals are engaged in key and higher level positions. When a foreign company sets up a business operations in India, the management of these companies tends to seek the services of their own employees for management level positions.
Legislative restrictions
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Requirements
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa.
Procedure
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.
Legislative restrictions
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Requirements
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa.
Procedure
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.
Taxable Income Of Expatriates
The term ‘Expatriate Tax’ is not defined under the Income Tax Act, 1961. However, in general terms, expatriate means a person who is living outside the country of his origin or where a country of which he does not hold citizenship. He may be residing in another country temporarily or permanently which is generally dependent upon the conditions of the deputation where the word “deputation” means deputing or transferring an employee to a post outside his cadre on a temporary basis.
Under the Income Tax Act, 1961 the incidence of tax depends on the following:
- The residential status of taxpayer
- Provisions prevailing in the Assessment Year to which the incomes relate
- Whether the accrual/ receipt of such income has a nexus with India.
Taxable Income Of Expatriates
The term ‘Expatriate Tax’ is not defined under the Income Tax Act, 1961. However, in general terms, expatriate means a person who is living outside the country of his origin or where a country of which he does not hold citizenship. He may be residing in another country temporarily or permanently which is generally dependent upon the conditions of the deputation where the word “deputation” means deputing or transferring an employee to a post outside his cadre on a temporary basis.
Under the Income Tax Act, 1961 the incidence of tax depends on the following:
- The residential status of taxpayer
- Provisions prevailing in the Assessment Year to which the incomes relate
- Whether the accrual/ receipt of such income has a nexus with India.
Special provisions for foreigners
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Statutory deductions
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa. An Employment Visa is given only for jobs that require very high level of skills and expertise.
Expatriate remuneration
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.A valid passport.
Special provisions for foreigners
In the legal context there are no specific legislative restrictions on the type of skills that may be brought in nor the numbers of staff. However, under Government Policy employment visas to foreigners are issued only for jobs requiring high skills and expertise.
Statutory deductions
The Government authorities dealing in issues relating to expatriate employment in India are the Ministry of Home Affairs and RBI In general, employers who are employing expatriates in India must satisfy the following conditions:
Employment Visas
All foreign nationals who enter India must obtain an appropriate visa from an overseas Indian Consular Post in their home country prior to entering India. A Foreigner entering India for the purpose of employment must possess a valid employment visa. An Employment Visa is given only for jobs that require very high level of skills and expertise.
Expatriate remuneration
The authorized capital is the capital limit authorized by the Registrar of Companies up to which the shares can be issued to the members / public, as the case may be. The paid up share capital is the paid portion of the capital subscribed by the shareholders.A valid passport.
Talk To Our Best Financial Expert
A small river named Duden flows by their place and supplies it with the necessary regelialia.
It is a paradisematic country, in which