The status of an NRI has been revised by the union government of India in 2019. It has changed the way government categorises non-residents. These changes are introduced make tax liabilities of non-residents crystal clear. But, these amendments are affecting the marriage act and other contextual legislations for them also. While presenting the budget, the finance minister announced this new categorization:
This revising can affect the need to have CENOMAR for NRIs or some other documents that one has to present for employment, marriage and study in foreign. They have to keep this revision in mind before taking any step in the future. Those who might be thinking that they are stateless citizen and don’t have to show single status certificate for wedding in foreign, for example, would have to rethink about it.
An individual is a resident of India if:
- He has spent 182 days or more here in the financial year.
- He has spent 60 days or more here in the financial year and the total count of days in the earlier four financial years is 365 days or more.
Amendment for PIOs
The Indian citizens and Persons of Indian Origin (PIO) are relieved from the second condition. It means that the second condition is not valid in their case. So, they can stay longer here without being liable to pay tax on the world income.
Another crucial change is for PIOs. At present, the PIO is considered as a non resident if his stay here is less than 182 days. But since 2019, this rule has been amended. Now, that stay period has been reduced from 182 to 120 days. Consequently, the Indian citizens or PIOs who live here for at least 120 days would become the resident of India.
Amendment for Stateless Indian Citizens
The stateless Indian citizens are a high net worth individuals, who skip the status of being liable to pay tax in India or any other country. Such individuals manage their stay in a particular country in such a wonderful way that they cannot be categorized as a resident of that country. Our legislation calls them the stateless Indian citizens.
Now, the amendment states that such stateless people will be Indian citizens. Simply put, the new Finance Bill proposes that an Indian who is not liable to be taxed in any country for being a domicile will be Indian resident.
Not Ordinary Resident (NOR)
This is who has citizenship of India, but his foreign income is not chargeable to tax here unless the source of income is a business controlled from India/ profession set up in India. Therefore, individuals of this category ca manage their affairs before their foreign income turns taxable here.
There are certain conditions that one has to fulfill, which is that he/ she must be a non-resident for at least 7 out of 10 previous financial years.
The case as, his/ her total stay here should not be more than 730 days in the preceding seven financial years, won’t exist now. Now, such individuals who have been enjoying the status of an NRI for 10 years or more will be NOR for four years.
Marriage Provisions
Those who are already planning to get married in the foreign, now the aforementioned categorization can help them to collect supporting documents accordingly. Here are a few provisions that have been newly introduced in 2019. NRIs should keep them into account before getting marriage here:
- Registration
Registration of NRIs marriage is must now. They have just 30 days after the marriage to get marriage certificate from the local SDM office. If the marriage is solemnized outside of India, the rule will be same. It would be registered with a marriage officer who would be appointed from among the diplomatic officers in foreign.
- Impounding of Passport
The amendment in the Passport Act, 1967 states if the NRI doesn’t register the marriage within stipulated period, his/ her passport may be confiscated or revoked.
- Summons and Warrants
Currently, the Code of Criminal Procedure, 1973 (CrPC) allows issuance of summons and warrants. This Bill adds a section to the CrPC to state that regardless of other provisions in the CrPC, if a court finds that that summons could not be served to a person physically or the person does not appear before the court, it may put the summons on the designated website of the Ministry of External Affairs.
- Post Warrants
When the proclamation is up on the site, it would be the conclusive evidence that the warrant has been issued & served. The court may order the proclaimed offender to enclose the property.
This is how the non-residents should be aware about the registration of marriage here, as they need to know about the bachelorhood certificate to solemnize in abroad. It would be a precautionary step to stop bigamy or polygamy or marital frauds with Indian girls.
