Law:

Section:

Section 6 of the Income-tax Act, 1961 - Residential status - Assessment year 1980-81 - Assessee was employed in a foreign country under a service agreement dated 24-10-1978 for a period of nine months - Said agreement was terminated on 15-7-1979 and assessee came to India for 85 days from July, 1979 to October, 1979 and thereafter joined service in another foreign country - Assessee claimed that he being non-resident during accounting period ending 31-3-1980, in terms of section 6(1)(c), should be assessed accordingly - Whether in view of Explanation to section 6(1)(c) for claiming status of non-resident, a person has to be in India for 90 days or more in India on leave or vacation if he renders services outside India - Held, yes - Whether since assessee was in India for less than 90 days and was not on leave or vacation as his services were terminated, case of assessee did not fall in Explanation to section 6(1)(c) and, therefore, assessee was to be treated as resident and he could not claim to be non-resident - Held, yes JUDGMENT 1. Following questions of law have been referred for the opinion of this Court by the Income-tax Appellate Tribunal, Chandigarh Bench, Chandigarh ('the Tribunal'), arising out of its order dated 27-6-1985 in ITA No. 823 of 1983, for the assessment year 1980-81:- "(1)Whether the Tribunal was right in law in rejecting the claim of the assessee to be assessed in the status of non-resident by holding that the assessee was not on 'vacation' in India though he was rendering service out of India before and after his stay in India during the relevant previous year? (2)Whether the Tribunal was right in law in rejecting the claim of the assessee that the assessment framed was bad in law as it was made in contravention of the provisions of sections 5(1)(a) and 5(1)(b) of the Income-tax Act, 1961?" 2. The assessee was employed at Hong Kong from 24-10-1978 to 15-7-1979 under service agreement dated 24-10-1978 for nine months. The contract was terminated on 15-7-1979 and the assessee came to India for 85 days from July 1979 to October 1979. He then joined service in Jordon from 1-11-1979 to 28-2-1980. 3. The question raised by the assessee was…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492