NRI Tax StatusResident but not ordinarily resident (RNOR)
A person who is resident in India for the tax year can still be "not ordinarily resident". Section 6(13) of the Income-tax Act, 2025 lists the cases (read on 13 November 2026). The practical effect is on foreign income, which is taxed in India for an ordinary resident but only in narrow cases for an RNOR: see what is taxed.
The four cases
- Non-resident in nine of the ten preceding tax years. A person who has lived abroad for most of the last decade and returns.
- 729 days or fewer in India in the seven preceding tax years. The test is cumulative days, about 104 days a year on average.
- A citizen or person of Indian origin whose total income other than foreign-source income exceeds ₹15 lakh and who was in India for 120 days or more but fewer than 182 days in the year.
- A citizen deemed resident under section 6(7), not taxed in any other country, with income above ₹15 lakh.
Examples
| Who | Status |
|---|---|
| A foreign national in India for 190 days | Resident and ordinarily resident (ROR) |
| A foreign national: 70 days this year, 400 days in the four years before, long-time resident (1,500 days in 7 years) | Resident and ordinarily resident (ROR) |
| A foreign national: 70 days this year, 400 days before, few years in India (500 days in 7 years) | Resident but not ordinarily resident (RNOR) |
| A citizen working abroad, home for 100 days (left for employment) | Non-resident (NR) |
| A citizen living abroad visiting for 130 days, income in India ₹10 lakh | Non-resident (NR) |
| The same visitor with income in India ₹20 lakh | Resident but not ordinarily resident (RNOR) |
| A citizen with ₹20 lakh Indian income, 30 days in India, not taxed elsewhere | Resident but not ordinarily resident (RNOR) |
Source
- The Income-tax Act, 2025, as published in the Gazette of India Extraordinary: section 5 (scope of total income), section 6 (residence in India) and section 2(78) ("person of Indian origin"). The enacted text was read on 13 November 2026.
The rules are those of the Income-tax Act, 2025 as read on 13 November 2026. This site is independent, not connected with the Income Tax Department, and gives information, not tax advice. Residential status under the Income-tax Act is different from residence under FEMA, which decides how you may hold accounts and investments. Ask a chartered accountant about your own facts.