Non resident and resident Individual

Today I shall discuss about resident and non resident  individual taxpayer with examples and through problem and solution.

Who

In the case of  Individual

   Resident-  u/s 2(55) of IT Odinance, 1984

•  If any person passes 182 days  (Half of a year) Or more than 182 days in Bangladesh continuously or non- continuously

                                                            or,

•  if any person passes 90 days  in a fiscal/ income year and 365 days in the previous 4 years continuously or not continuously in Bangladesh.

Non -Resident    u/s 2(55) of  I T O , 1984  - 

      If the assessee ( tax payer) – Bangladeshi or Non Bangladeshi 

•   is continuously out of Bangladesh during the whole year
•   lives less than 182 days in a year
•   lives less than 90 days in a year and 365 days in previous 4 years

  For example ,

                 if a Bangladeshi national lives in Australia for education , job for whole part of the year lives less than 182 days in a year or  90 days in a year and 365 days in previous 4 years he is a non resident Bangladeshi. 

              Again , if an Australian lives whole part of the year outside Bangladesh lives less than 182 days in a year or  90 days in a year and 365 days in previous 4 years he is a non resident non Bangladeshi.

Comment:

              Thus a man may be resident in 2 different countries in the same year, although he can have only one domicile. 

Problem :

             if a person lives in 2011-12 fiscal year 200 days in Bangladesh and in previous 5 yrs. outside Bangladesh what will be his status

 Ans.- Status- Resident u/s 55(a)i

Problem:

                  In  2011-12 fiscal year if a person lives 50 days  and previous 4 years in Bangladesh and the rest of the time in abroad

Ans.- Status-  non resident