Udayavni Special

COVID-19 impact: US-based org appeals Fin Min to amend law taxing NRIs


PTI, Apr 16, 2020, 2:13 PM IST

New Delhi: A law requiring less than 120 days’ stay in India to claim Non-Resident Indian (NRI) status needs to be changed, an association representing NRIs has demanded, citing economic disruptions due to the coronavirus pandemic.

The US-based Global Organisation of People of Indian Origin (GOPIO) has asked Finance Minister Nirmala Sitharaman to change the provision, implemented through the Finance Act, 2020, saying it is a “hard blow” to many NRIs.

“According to Income Tax laws, a person can qualify as an NRI if he stays in India for less than 120 days. Then his global income is exempted from tax in India as an NRI. However, his income in India would still be taxed,” chartered accountant Sunil Rawla said.

In a letter to Sitharaman, GOPIO president Sunny Kulathakal has said NRIs and the People of Indian Origin (PIO) have been substantially contributing to the Indian economy.

According to a World Bank report, India is the top recipient of remittances in the world. In 2018, the Indian diaspora sent a whopping USD 79 billion back home, a rise of 14 per cent from the previous year, Kulathakal said.

“In view of the world-wide lockdown due to COVID-19 pandemic and the unprecedented disruption of economic activities, GOPIO appeals to the government of India for immediate repeal of the revised NRI status duration rule of 120 days and make it 182 days, which has existed for long,” he said.

The new rule is akin to penalising all NRIs, Kulathakal said.

“Entire nation is suffering due to the closure of borders, shutdown of airlines and other means of transportation. Many NRIs are forced to stay longer in India due to quarantine and travel restrictions imposed on them to combat the pandemic, resulting in losing their NRI status,” he said.

“In view of these disruptive developments that are beyond our control, we plead before you to revoke the provision on NRI status introduced through the Union Budget 2020,” Kulathakal said.

The GOPIO is the largest network of the Indian diaspora, which was founded in 1989 in New York, the letter said.

Though the initial focus of the organisation was on human rights violations against the people of Indian origin, over the past three decades, it has been actively involved in the social, economic, cultural and educational issues of the PIO community and NRIs around the globe.

The GOPIO has been striving to promote Prime Minister Narendra Modi’s initiatives such as Make in India, Skill India and Digital India among the NRI-PIO community, the letter said.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Pakistan fails to nab 19 most wanted LeT terrorists even 12 years after 26/11 attack

Speculation rife in Karnataka as CM convenes meeting of cabinet, MPs

Farmers’ protest: Vigil stepped up in Delhi’s bordering areas, vehicles being checked

Khattar hits out at Amarinder, tells him to stop ‘inciting’ innocent farmers

PM Modi to visit Serum Institute of India in Pune on Saturday

Militant attack in J&K, two security personnel killed

WhatsApp OTP scam: What is it and how to stay safe?



Related Articles More

Phone Call Row: RJD Chief Lalu Prasad Shifted from Hospital Director’s Bungalow to Paying Ward

India, Nepal Agree to Advance Ties as Foreign Secretary Meets Nepalese Top Leadership

Former Assam CM Tarun Gogoi Cremated With Full State Honours in Guwahati

UP govt extends ban on strikes in state departments for 6 months

Air India Set to Commence Non-stop Flights Between Bengaluru and San Francisco From Jan 11

MUST WATCH

Madhavashankara name for Mangalore airport: Shri Sugunendra Tirtha Swamiji

Centuries-old Tuluva ritual of ‘Bhoomipuje Gaddekori’ still performed at Palthadi Village in Puttur

A bike rider dies in a lorry crash : The scene of the accident was captured on CCTV

Moodbidri: Four people drowned in Shambhavi river

1348 new vented dams in K’taka’s coastal districts: J.C. Madhu Swamy

Latest Additions

Chinese Premier Li to Attend SCO Heads of Govt Meeting Hosted by India on November 30

Phone Call Row: RJD Chief Lalu Prasad Shifted from Hospital Director’s Bungalow to Paying Ward

India, Nepal Agree to Advance Ties as Foreign Secretary Meets Nepalese Top Leadership

Former Assam CM Tarun Gogoi Cremated With Full State Honours in Guwahati

UP govt extends ban on strikes in state departments for 6 months

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.