Residence in India
Section 6 of the Income-tax Act, 1961 deals with residence in India. For the purposes of this Act,— (1) An individual is said to be resident in India in any previous year, if he— (a) is in India in that year for a period or periods amounting in all to one hundred and eighty-two days or more ; The Act came into force on 01 Apr 1962. Repealed by the Income-tax Act, 2025 with effect from 1 April 2026, but conduct before that date is still charged, tried and appealed under it.
For the purposes of this Act,—
(1) An individual is said to be resident in India in any previous year, if he—
(a) is in India in that year for a period or periods amounting in all to one hundred and eighty-two days or more ; or (b) [***] (c) having within the four years preceding that year been in India for a period or periods amounting in all to three hundred and sixty-five days or more, is in India for a period or periods amounting in all to sixty days or more in that year.
Explanation 1.—In the case of an individual,—
(a) being a citizen of India, who leaves India in any previous year as a member of the crew of an Indian ship as defined in clause (18) of section 3 of the Merchant Shipping Act, 1958 (44 of 1958), or for the purposes of employment outside India, the provisions of sub-clause (c) shall apply in relation to that year as if for the words "sixty days", occurring therein, the words "one hundred and eighty-two days" had been substituted ;
(b) being a citizen of India, or a person of Indian origin within the meaning of Explanation to clause (e) of section 115C, who, being outside India, comes on a visit to India in any previous year, the provisions of sub-clause (c) shall apply in relation to that year as if for the words "sixty days", occurring therein, the words "one hundred and eighty-two days" had been substituted and in case of such person having total income, other than the income from foreign sources, exceeding fifteen lakh rupees during the previous year, for the words "sixty days" occurring therein, the words "one hundred and twenty days" had been substituted.
Explanation 2.—For the purposes of this clause, in the case of an individual, being a citizen of India and a member of the crew of a foreign bound ship leaving India, the period or periods of stay in India shall, in respect of such voyage, be determined in the manner and subject to such conditions as may be prescribed. (1A) Notwithstanding anything contained in clause (1), an individual, being a citizen of India, having total income, other than the income from foreign sources, exceeding fifteen lakh rupees during the previous year shall be deemed to be resident in India in that previous year, if he is not liable to tax in any other country or territory by reason of his domicile or residence or any other criteria of similar nature.
Explanation.—For the removal of doubts, it is hereby declared that this clause shall not apply in case of an individual who is said to be resident in India in the previous year under clause (1).
(2) A Hindu undivided family, firm or other association of persons is said to be resident in India in any previous year in every case except where during that year the control and management of its affairs is situated wholly outside India.
(3) A company is said to be a resident in India in any previous year, if—
(i) it is an Indian company; or (ii) its place of effective management, in that year, is in India.
Explanation.—For the purposes of this clause "place of effective management" means a place where key management and commercial decisions that are necessary for the conduct of business of an entity as a whole are, in substance made.
(4) Every other person is said to be resident in India in any previous year in every case, except where during that year the control and management of his affairs is situated wholly outside India.
(5) If a person is resident in India in a previous year relevant to an assessment year in respect of any source of income, he shall be deemed to be resident in India in the previous year relevant to the assessment year in respect of each of his other sources of income.
(6) A person is said to be "not ordinarily resident" in India in any previous year if such person is—
(a) an individual who has been a non-resident in India in nine out of the ten previous years preceding that year, or has during the seven previous years preceding that year been in India for a period of, or periods amounting in all to, seven hundred and twenty-nine days or less; or (b) a Hindu undivided family whose manager has been a non-resident in India in nine out of the ten previous years preceding that year, or has during the seven previous years preceding that year been in India for a period of, or periods amounting in all to, seven hundred and twenty- nine days or less ; or (c) a citizen of India, or a person of Indian origin, having total income, other than the income from foreign sources, exceeding fifteen lakh rupees during the previous year, as referred to in clause (b) of Explanation 1 to clause (1), who has been in India for a period or periods amounting in all to one hundred and twenty days or more but less than one hundred and eighty-two days; or (d) a citizen of India who is deemed to be resident in India under clause (1A).
Explanation.—For the purposes of this section, the expression "income from foreign sources" means income which accrues or arises outside India (except income derived from a business controlled in or a profession set up in India) and which is not deemed to accrue or arise in India.
Income deemed to be received.
Section 6, The Income-tax Act, 1961 (Act 43 of 1961).
Now in the Income-tax Act
INCOME-TAX-ACT-2025 6 Residence in India Official correspondence
Measured by comparing the text of the two provisions, not taken from an official correspondence table — there is no machine-readable one. See both texts side by side before relying on it.
Both regimes are live. The repealed enactment still governs what happened while it was in force. We never redirect one to the other.
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
This section refers to
Referred to by 27
- Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act s. 2 Definitions
- Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act s. 42 Penalty for failure to furnish return in relation to foreign income and asset
- Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act s. 43 Penalty for failure to furnish in return of income, an information or furnish inaccurate particulars about an asset (including financial interest in any entity) located outside India
- Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act s. 49 Punishment for failure to furnish return in relation to foreign income and asset
- Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act s. 50 Punishment for failure to furnish in return of income, any information about an asset (including financial interest in any entity) located outside India
- Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act s. 51 Punishment for wilful attempt to evade tax
- Finance Act s. 3 Amendment of section 6
- Finance Act s. 3 Amendment of section 6
- Finance Act s. 4 Amendment of section 6
- Finance Act s. 5 Amendment of section 6
- Finance Act s. 4 Amendment of section 6
- Finance Act s. 4 Amendment of section 6
and 15 more
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Union of India vs Gautam Khaitan
Court's Decision & Legal Precedent
The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 was not made retrospectively applicable through the notification dated 01.07.2015 changing the commencement date. The change in commencement date was made solely to enable assessees to benefit from the voluntary disclosure scheme under Section 59, which had specific deadlines. The penal provisions under Sections 50 and 51 do not apply retrospectively but only when an assessee fails to take benefit of Section 59. The taxation framework operates prospectively from assessment year 2016-17 onwards, with tax charged on the value of undisclosed foreign assets as determined in the previous year in which the asset comes to the notice of the Assessing Officer.
On this section: Definition of 'resident' and 'not ordinarily resident' used in Black Money Act provisions.
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Commissioner of Income Tax, International Taxation-3 vs Formula One World Championship Ltd.
Court's Decision & Legal Precedent
A non-resident foreign enterprise has a permanent establishment in India under Article 5 of the Double Taxation Avoidance Agreement when it has exclusive access and control over a fixed place of business through which it carries on business activities, even if such access is temporary and recurring annually, provided the arrangement is substantial and the enterprise exercises dominant control over the location and activities conducted therein. The substance of the transaction and the actual control exercised by the enterprise over the location and business activities are determinative factors, not merely the formal designation of parties or the temporary nature of the presence.
On this section: Definition of resident and not ordinarily resident in India for tax purposes
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Commissioner of Income Tax-Delhi v. Mansarovar Commercial Pvt. Ltd. (with Sovereign / Swastik Commercial)
Court's Decision & Legal Precedent
Sikkim-incorporated companies held resident in India under s.6(3)(ii) where control and management of affairs was wholly in India (Delhi CA office / directors); ITAT non-residence finding set aside as ignoring material. DATE VERIFIED Final Order 22.02.2016 (order-2.pdf).
On this section: Teaches the s.6(3)(ii) control-and-management residence test for companies versus place of incorporation.
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Dhanashree Ravindra Pandit W/o Ravindra Pandit vs The Income Tax Department
Court's Decision & Legal Precedent
Criminal prosecution cannot be initiated under the Black Money Act 2015 for conduct occurring before the Act came into force, as such retrospective application violates Article 20(1) of the Indian Constitution which protects individuals from conviction except for violation of law in force at the time of commission of the act. The deeming provision in Section 72(c) of the Black Money Act, which creates a legal fiction that assets acquired before the Act's commencement shall be deemed to have been acquired in the year notice is issued, cannot be extended to impose criminal liability for pre-Act conduct as this would defeat the constitutional protection against ex post facto criminal laws. The Constitution, being the fountain head of all statutes, supersedes statutory provisions, and any law, however special, must conform to fundamental rights.
On this section: Referenced for definitions of 'resident' and procedures for furnishing returns of income; Section 131 relates to examination of persons
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Questions about Section 6
What have the courts held on Section 6 of the Income-tax Act?
Union of India vs Gautam Khaitan (15 Oct 2019) is the leading judgment on this section among those set out below: Definition of 'resident' and 'not ordinarily resident' used in Black Money Act provisions. Another 3 judgments on this section are set out below, 2 of them from the Supreme Court. They run from 2016 to 2024.
How do I find court cases under Section 6 of the Income-tax Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Income Tax Act 6, section 6 Income Tax Act, section 6 of the Income-tax Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 4 reported judgments on this section are set out on this page, beginning with Union of India vs Gautam Khaitan (15 Oct 2019).
What should I read with Section 6 of the Income-tax Act, and has it changed?
Its own text turns on section 115C (Definitions), so none of them can safely be read on its own. 27 other provisions in this corpus refer back to it. For anything done on or after 1 April 2026 the provision to read is Income-tax Act, 2025, section 6 (Residence in India), which replaced it; conduct before that date is still charged, tried and appealed under this section.
When did Section 6 of the Income-tax Act come into force?
Section 6 of the Income-tax Act, cited as Income Tax Act 6, came into force on 01 Apr 1962, having been enacted on 13 Sep 1961. It is no longer in force.
Other sections of this Act
- 10. Incomes not included in total income30885 words
- 2. Definitions11419 words
- 80HHF. Deduction in respect of profits and gains from export or transfer of film software, etc7148 words
- 80-IB. Deduction in respect of profits and gains from certain industrial undertakings other than infrastructure development undertakings5474 words
- 155. Other amendments5451 words
- 139. Return of income5400 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Recovered from the consolidated text published by the Income Tax Department, as amended by the Finance Act, 2026. India Code holds no record of this Act in any form. This page is not a substitute for legal advice.