You have moved to Canada and have become a NRI, however you continue to earn income from residential or commercial property situated in India, or you have earned capital gains on transfer of an asset in India, earned or received a salary during the financial year in India; you have to mandatorily file your tax returns in India. Where gross total income (before deduction) exceeds INR 250000, you must file a return in India. If you are seeking a refund of taxes or want to carry forward losses a return must be filed.

Why should you file your Return of Income in India even after you have become an NRI ?

It may result in to  penalty of Rs.5000/– for each year. Also, one may be subject to prosecution u/s 276CC

However, a person shall not be preceded for penalty or prosecution for failure to furnish Return of Income, if-

• The return is furnished by him before the expiry of the assessment year or
• The tax payable by him on the total income determined on regular assessment, as reduced by the advance tax, if any, paid, and any tax deducted at source (TDS), does not exceed three thousand rupees i.e. his balance tax liability after considering TDS and Advance Tax does not exceed three thousand rupees

ICA Council can help you file your India Tax returns from Canada itself for your income earned in India through our registered empaneled Indian Chartered accountants

DTAA: Double Taxation Avoidance Agreement

An NRI can take the benefit of DTAA provisions entered into between India and Canada which can give the benefit of tax credit or exempts the income from taxation or the withholding tax rate for whichever is lower.

We at ICA Council organize FREE Webinars on multiple topics and options to educate the immigrants on the Taxation that needs to be taken care in India. Our guidance seminars and webinars covers topics like:

• Do I need to pay Tax in India even though I am a Canadian PR?
• Do I need to pay Tax in India even though I am a Canadian Citizen?
• Is it compulsory to declare my income in India?
• Are there any penalties?
• What are the timelines for the taxation?