How much NRI income is now exempted from tax in India? Here’s a breakdown of the math

How much NRI income is now exempted from tax in India? Here’s a breakdown of the math

Dubai: While non-resident Indians (NRIs) are not taxed on their foreign income, which is not received in India or deemed to accrue or arise in India, if you are an NRI and you’ve earned a salary for the services that you rendered in India, it shall be taxable in India. As per the most recent 2023 Budget, which came into effect from February 1, NRIs and resident Indians alike are not required to file their Income Tax Returns (ITRs) if their total income for the year is below the basic exemption limit of Rs300,000 (Dh13,452). The existing income tax regime was spruced up by making income of up to Rs300,000 exempt from income tax, as opposed to Rs250,000 (Dh11,210) earlier. Additionally, with a rebate, now people earning up to Rs700,000 need not pay any income tax. This new system was termed as the ‘New Tax Regime’. “The increase in basic exemption of Rs300,000 will be available to all, including NRIs, if they are opting for New Tax Regime,” clarified Dixit Jain, managing director at The Tax Experts DMCC, a Dubai-based tax advisory, who also went on to explain if the other exemptions apply to NRIs. “However, one needs to keep