For non resident Indians across the globe . . .

22.Taxatioin India for Foreign

Citizens

Questions: Dear Sir, I have been told that US Citizens returning to India should pay dual income tax (USA & India). Is this true? If I return to India after becoming a US citizen and if I choose to work in India, should I file my US & Indian tax return? Thanks in advance! Krishnan, Viswa Answer: I am assuming you are referring to US citizens working in India for their US employers. India and the United States have a tax treaty so that their citizens can avoid double taxation. Where you pay taxes will depend on the number of days in a taxation year that you work in India. Whether its less or more than 183 days. When US citizens pay income tax by filling tax returns in foreign countries with whom the United States has tax treaties, they are given a foreign tax credit when filling their US tax return so as to reimburse them for some of the income tax they paid abroad. For more information on the tax treaty between India and the United States of America I am posting the link, please click HERE.