Who is Resident but not ordinarily resident (RNOR)?
An individual is treated to be not ordinarily resident in India in any previous year if he • Has been a non-resident in India in 9 out of the 10 previous years preceding the previous year or • Has during the seven previous years preceding that year, been in India for a period of or periods amounting in all to 729 days or less. Thus according to condition in clause (a) a newcomer to India would remain ‘not ordinarily resident’ in India for the first 9 years of his stay in India. Similarly, in case where a person who is resident in India goes abroad and ceases to be a resident in India for atleast 2 years, he shall, on his return, be treated as not ordinarily resident for the next 9 years.
