Income Tax Act 2025: Section 217 for Tax Year 2025-26

Non-resident Indians who become residents can continue to benefit from certain provisions under sections 212-218 for foreign exchange assets until their transfer.

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Benefit to be available in certain cases even after assessee becomes resident

[As per the Income Tax Act, 2025 (this Act) w.e.f. 1st April, 2026.]

Section 217(1) of Income Tax Act 2025

(1) Where a non-resident Indian in any tax year,––

(a)becomes assessable as a resident in India in a subsequent tax year; and

(b)furnishes a declaration in writing to the Assessing Officer alongwith his return of income under section 263 for the tax year for which he is so assessable, to the effect that provisions of sections 212 to 218 shall continue to apply to him in relation to the investment income derived from any foreign exchange asset referred to in section 212(e) other than a share in an Indian company,
then the provisions of this Chapter shall continue to apply in relation to such income until the transfer or conversion (otherwise than by transfer) of such assets into money.


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