Tax residence in India for U.S. citizens and green card holders

India decides residence for each tax year (1 April – 31 March) under s. 6 of the Income-tax Act, 2025: you are resident with 182 days or more in India, or with 60 days or more plus 365 days or more in the four preceding tax years, but the 60-day test does not apply to Indian citizens and persons of Indian origin coming on a visit (120 days apply instead if their income other than foreign-source income exceeds ₹15 lakh). An Indian citizen with such income above ₹15 lakh who is not liable to tax in any other country by reason of domicile or residence is deemed resident, and a resident who is not ordinarily resident (RNOR) is taxed on foreign income only if it comes from a business controlled in or a profession set up in India. The United States taxes its citizens and green card holders as residents wherever they live, and Art. 4(1) of the 1989 U.S.–India Convention lists citizenship among the residence criteria. A dual residence is resolved under Art. 4(2): permanent home, center of vital interests, habitual abode (also when you have a permanent home in neither country), nationality, then mutual agreement. The saving clause (Art. 1(3)) keeps U.S. tax on citizens whatever the result.

Check your status: United States and India

Free, no sign-up, about 3 minutes. Conclusion under U.S. law, compared with the law of India and the tax treaty.

When India treats you as a tax resident

India's tax year runs from 1 April to 31 March (tax year 2026-27 = 1 April 2026 – 31 March 2027); for it, residence is determined under s. 6 of the Income-tax Act, 2025. 182 days or more in India in the tax year makes any individual resident.

A resident is «not ordinarily resident» (RNOR) if he or she was a non-resident of India in 9 of the 10 preceding tax years or spent 729 days or fewer in India in the 7 preceding tax years.

In the year an Indian citizen leaves India for employment abroad or as crew of an Indian ship, only the 182-day test applies.

An Indian citizen who is not resident under the day tests may still be deemed resident if his or her income other than foreign-source income exceeds ₹15 lakh.

For an Indian citizen living abroad who comes on a visit, the 60-day test does not apply; with Indian income above ₹15 lakh, a 120-day test applies instead.

The 60-day test needs, in addition, 365 days or more in India in the four preceding tax years.

The visitor rules of s. 6(4)–(5) also apply to persons of Indian origin who are not Indian citizens — a person is of Indian origin if he or she, either parent or any grandparent was born in undivided India. Deemed residence (s. 6(7)) applies only to citizens.

You were in India for 182 days or more in this tax year — you are resident in India under s. 6(2)(a) of the Income-tax Act, 2025. As a resident and ordinarily resident, India taxes your worldwide income (s. 5(1)).
You were in India for 182 days or more — you are resident in India (s. 6(2)(a)), but not ordinarily resident (RNOR, s. 6(13)(a)) because of your past years. India taxes income received or arising in India, and foreign income only if it comes from a business controlled in or a profession set up in India (s. 5(1)(c)).
You were in India for 182 days or more — you are resident in India (s. 6(2)(a)). Whether you are ordinarily resident depends on your past years (non-resident in 9 of the 10 preceding tax years, or 729 days or fewer in the 7 preceding years, makes you RNOR); until you check, assume India taxes your worldwide income.
You were in India for 60 days or more this tax year and 365 days or more in the four preceding years — you are resident in India under s. 6(2)(b). As a resident and ordinarily resident, India taxes your worldwide income (s. 5(1)).
You were in India for 60 days or more this tax year and 365 days or more in the four preceding years — you are resident (s. 6(2)(b)), but not ordinarily resident (RNOR, s. 6(13)(a)). India taxes income received or arising in India, and foreign income only if it comes from a business controlled in or a profession set up in India (s. 5(1)(c)).
You were in India for 60 days or more this tax year and 365 days or more in the four preceding years — you are resident in India (s. 6(2)(b)). Whether you are ordinarily resident depends on your past years; until you check, assume India taxes your worldwide income.
As an Indian citizen or person of Indian origin visiting India with income other than foreign-source income above ₹15 lakh, you spent 120 days or more in India this tax year and 365 days or more in the four preceding years — you are resident (s. 6(2)(b) read with s. 6(5)) and, by law, not ordinarily resident (s. 6(13)(b)). India taxes income received or arising in India, and foreign income only if it comes from a business controlled in or a profession set up in India (s. 5(1)(c)).
You are an Indian citizen with income other than foreign-source income above ₹15 lakh and are not liable to tax in any other country by reason of domicile or residence — you are deemed resident in India (s. 6(7)) and, by law, not ordinarily resident (s. 6(13)(c)). India taxes income received or arising in India, and foreign income only if it comes from a business controlled in or a profession set up in India (s. 5(1)(c)).

When you are a nonresident

You left India this tax year for employment abroad (or as crew of an Indian ship) and spent fewer than 182 days in India — you are non-resident (s. 6(3)) and not deemed resident. India taxes only income received or arising in India (s. 5(2)).
You live abroad and only visited India: you spent fewer than 182 days there and do not meet the 120-day rule for visitors with Indian income above ₹15 lakh (s. 6(4)–(5)), nor deemed residence — you are non-resident. India taxes only income received or arising in India (s. 5(2)).
You spent fewer than 182 days in India and do not meet the 60-day test (60 days this year and 365 days in the four preceding years), and you are not deemed resident — you are non-resident. India taxes only income received or arising in India (s. 5(2)).
You are not an Indian citizen and do not meet the 182-day or the 60-day test (60 days this year and 365 days in the four preceding years) — you are non-resident. India taxes only income received or arising in India (s. 5(2)).

Where the rules of India clash with U.S. tax rules

Collision: resident in both — the U.S. calendar year meets India's April–March year. In the year you move you can meet the U.S. test (citizenship, green card or substantial presence) and still have 182 days or more in India in the Indian tax year, or remain resident in India under the 60-day test (60 days and 365 days in the four preceding years) unless you are an Indian citizen leaving India for employment abroad (then only 182 days count). Art. 4(2) of the U.S.–India Convention decides: permanent home → centre of vital interests → habitual abode (also where you have a permanent home in neither country) → nationality → mutual agreement. A U.S. citizen remains taxable in the U.S. whatever the result (Art. 1(3)).
Collision: India's 60-day rule for repeated visitors. With fewer than 182 days in an Indian tax year, you are still resident in India if you spend 60 days or more there in that year and 365 days or more in the four preceding tax years (s. 6(2)(b)). This 60-day test applies to everyone except an Indian citizen or a person of Indian origin who lives outside India and comes on a visit (for whom 120 days applies instead if income other than foreign-source income exceeds ₹15 lakh, otherwise only the 182-day test), and an Indian citizen who leaves India in the year for employment abroad or as crew of an Indian ship (only the 182-day test). Regular business visitors from the United States can meet it without noticing. If the U.S. also treats you as resident, Art. 4(2) of the Convention decides — a permanent home available only in the U.S. makes you a U.S. resident for treaty purposes. If your earlier years were mostly as a non-resident of India, you are likely to be not ordinarily resident, so India taxes mainly Indian income.

What else to know

Which treaty applies: the 1989 U.S.–India Convention. The Convention signed at New Delhi on 12 September 1989 (in force 18 December 1990) applies; the United States is not a party to the MLI. Art. 4(1) lists citizenship among the residence criteria. Residence tie-breaker: Art. 4(2) — permanent home; with a home in both countries, the centre of vital interests; if that cannot be determined, or you have a permanent home in neither, habitual abode; then nationality; then mutual agreement. Saving clause: Art. 1(3); employment: Art. 16 (183 days in the relevant taxable year); relief: Art. 25 (U.S. credit, Indian deduction).
Different tax years: the calendar year and 1 April – 31 March. The United States counts days in the calendar year (the substantial presence test also weighs the two prior years); India counts days in its tax year (1 April – 31 March) and also looks at your days in the four preceding Indian tax years. The same stay gives different totals: for example, a stay from 1 January to 30 June (181 days) falls in one U.S. year but is split between two Indian tax years (90 and 91 days). Check both counts separately; U.S. tax for one year relates to two Indian tax years.
Person of Indian origin: visitor rules. Indian law treats a person as of Indian origin if he or she, either parent or any grandparent was born in undivided India. For such a person living abroad who visits India, the 60-day test does not apply (s. 6(4)): with Indian income other than foreign-source income of ₹15 lakh or less, you become resident only with 182 days or more in India; above ₹15 lakh, with 120 days and 365 days in the four preceding years — and then you are not ordinarily resident (s. 6(13)(b)). Keep proof of birthplace if you rely on this rule.
Not ordinarily resident in India: U.S. income stays outside Indian tax. As a resident but not ordinarily resident (RNOR) of India, income arising outside India — for example rent from U.S. property or salary for work done in the United States — is taxed in India only if it comes from a business controlled in or a profession set up in India (s. 5(1)(c)). The United States still taxes it if you are a U.S. citizen or resident. RNOR status usually applies if you were non-resident in 9 of the 10 preceding Indian tax years or spent 729 days or fewer in India in the 7 preceding years; check it every year.
Working in India while resident in the U.S.: 183 days in the taxable year. India taxes pay for work done in India as income arising in India, even if you are non-resident and your employer is in the United States. If the U.S. is your treaty residence, India does not tax it only if all conditions of Art. 16(2) of the U.S.–India Convention are met: not more than 183 days in India in the relevant taxable year (for India, the tax year from 1 April), an employer that is not resident in India, and pay not borne by a permanent establishment or fixed base of the employer in India. Otherwise India taxes the pay for your Indian work days and the United States credits the Indian tax (Art. 25(1)).
How India and the U.S. relieve double taxation. If India is your state of residence, it taxes your worldwide income and deducts the U.S. federal income tax on income that the United States may tax under the Convention, up to the Indian tax on that income (Art. 25(2); s. 159 of the Income-tax Act, 2025); claim it with Form No. 44 under rule 76 of the Income-tax Rules, 2026, with your U.S. return or Form W-2/1042-S and proof of payment. The United States credits Indian tax for its citizens and residents (Art. 25(1)) — see the U.S. section. Whether India credits U.S. state income tax was not verified.
Moving between the U.S. and India: no split year in India. India decides your status for the whole tax year (1 April – 31 March) and has no split-year rule; a U.S. citizen is taxed by the United States for the whole calendar year. Because the two years overlap only partly, a move can make you resident in both countries for part of the time; the Convention's tie-breaker then applies.
Social security: no U.S.–India totalization agreement. India is not on SSA's list of U.S. social security agreements. There is no certificate of coverage, so U.S. Social Security and Medicare taxes and Indian provident fund contributions may both be due under each country's rules for the same work.

How dual residence is resolved

If both countries treat you as a resident, Art. 4(2) of the treaty applies: Convention between the Government of the United States of America and the Government of the Republic of India for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income (signed at New Delhi on 12 September 1989). The tests are applied in order — permanent home, center of vital interests, habitual abode, nationality, and finally mutual agreement between the tax authorities. U.S. citizens remain taxable in the United States under the saving clause.

Terms you will come across in India

tax year: 1 April to 31 March; tax year 2026-27 is the first under the Income-tax Act, 2025
resident and ordinarily resident: resident taxed in India on worldwide income
not ordinarily resident (RNOR): resident taxed on foreign income only if it comes from a business controlled in or a profession set up in India
deemed resident: Indian citizen with income other than foreign-source income above ₹15 lakh who is not liable to tax elsewhere by reason of domicile or residence
person of Indian origin: a person who, or either of whose parents or any grandparent, was born in undivided India
Form No. 44: form to claim the deduction for U.S. tax under rule 76 of the Income-tax Rules, 2026

Questions

I am a U.S. citizen living in India — how is double taxation relieved?

The United States keeps taxing you on worldwide income under the saving clause (Art. 1(3)), with relief from double taxation (Art. 25) kept as an exception in Art. 1(4). If India is your state of residence, India deducts the U.S. federal income tax on income the United States may tax under the Convention, up to the Indian tax on that income (Art. 25(2); s. 159 of the Income-tax Act, 2025), claimed with Form No. 44. The United States credits Indian tax for its citizens and residents (Art. 25(1); Form 1116).

I visit India regularly on business — can I become resident with only 60 days?

Yes, unless you are an Indian citizen or a person of Indian origin coming on a visit: 60 days in an Indian tax year plus 365 days or more in the four preceding tax years make you resident (s. 6(2)(b)). If the United States also treats you as resident, Art. 4(2) decides — a permanent home available only in the U.S. makes you a U.S. resident for treaty purposes. If you were mostly non-resident in India in earlier years, you are likely to be not ordinarily resident, so India taxes mainly Indian income.

How long can I work in India for a U.S. employer before India taxes my salary?

India taxes pay for work done in India even if you are non-resident and your employer is in the United States. If the U.S. is your treaty residence, India does not tax it only if you are in India not more than 183 days in the relevant taxable year (for India, the tax year from 1 April), the employer is not resident in India, and the pay is not borne by a permanent establishment or fixed base of the employer in India (Art. 16(2)). There is no U.S.–India totalization agreement, so U.S. Social Security and Medicare taxes and Indian provident fund contributions may both be due.

Sources

Legislation and official guidance

Income-tax Act, 2025 (Act No. 30 of 2025), s. 1(3) — Save as otherwise provided, the Act comes into force on 1 April 2026; tax year 2026-27 is the first tax year under it.
Income-tax Act, 2025, s. 6(1)–(2) — Residential status is determined for each tax year. An individual is resident in India in a tax year if in India for 182 days or more in that year, or for 60 days or more in that year and 365 days or more in the four years preceding it.
Income-tax Act, 2025, s. 6(13)–(14) — Not ordinarily resident: an individual non-resident in 9 of the 10 preceding tax years, or in India for 729 days or fewer in the 7 preceding tax years; a citizen or person of Indian origin with income other than foreign-source income above ₹15 lakh in India for 120–181 days; a citizen deemed resident under s. 6(7). Income from foreign sources: income accruing or arising outside India (except from a business controlled in or a profession set up in India) and not deemed to accrue or arise in India.
Income-tax Act, 2025, s. 6(3), (6) — The 60-day test does not apply to an Indian citizen who leaves India in the tax year as a member of the crew of an Indian ship or for employment outside India; only the 182-day test applies. Days of crew on a voyage are counted as prescribed.
Income-tax Act, 2025, s. 6(7)–(8) — An Indian citizen whose total income other than income from foreign sources exceeds ₹15 lakh and who is not liable to tax in any other country or territory by reason of domicile, residence or similar criterion is deemed resident in India; this does not apply to an individual already resident under s. 6(2)–(6).
Income-tax Act, 2025, s. 6(4)–(5) — The 60-day test does not apply to an Indian citizen or a person of Indian origin who, being outside India, comes on a visit to India; if such a person's total income other than income from foreign sources exceeds ₹15 lakh, 120 days takes the place of 60 days (with 365 days in the four preceding years).
Income-tax Act, 2025, s. 5 — A resident is taxed on income received or deemed received in India, accruing or arising (or deemed to) in India, and accruing or arising outside India; for a not ordinarily resident, income accruing outside India is included only if it is from a business controlled in or a profession set up in India. A non-resident is taxed only on income received or deemed received in India, or accruing or arising (or deemed to) in India.
Government of India clarification on deemed tax residency, relayed by the Consulate General of India, Dubai, 3 February 2020 — The deemed-residence provision is not intended to include in the tax net Indian citizens who are bona fide workers in other countries; income they earn outside India is not taxed in India unless it is derived from an Indian business or profession.
Art. 4(1)–(2) of the U.S.–India Convention (1989)
Art. 1(3)–(4) of the U.S.–India Convention (saving clause)
Art. 16(2) of the U.S.–India Convention
Art. 25 of the U.S.–India Convention (relief from double taxation) — Para. 1: the United States allows its citizens and residents a credit for Indian income tax. Para. 2: India allows its residents a deduction from Indian tax equal to the U.S. income tax paid, not exceeding the Indian tax attributable to the income that may be taxed in the United States.
§ 7701(b)(3)(A); Treas. Reg. § 301.7701(b)-1(c)
Income-tax Act, 2025, s. 159
Income-tax Rules, 2026, rule 76; Forms No. 44 and 45
SSA — U.S. international social security agreements (status)
New tax regime, s. 202 of the Income-tax Act, 2025 — rates for tax year 2026-27 (secondary source) — Nil up to ₹4 lakh; 5% ₹4–8 lakh; 10% ₹8–12 lakh; 15% ₹12–16 lakh; 20% ₹16–20 lakh; 25% ₹20–24 lakh; 30% above ₹24 lakh. Rebate for resident individuals with total income up to ₹12 lakh (up to ₹60,000); standard deduction ₹75,000 for salary; surcharge 10/15/25% above ₹50 lakh/₹1 crore/₹2 crore; 4% health and education cess. The old regime is available on opting in.
Income-tax Act, 2025, s. 263 — Return due dates (Table in s. 263(1)(c)): 31 July of the following financial year for assessees whose accounts are not audited; 31 October for audit cases. A resident other than not ordinarily resident who holds any asset outside India (including a financial interest in an entity) or has signing authority in an account outside India must file a return regardless of income. Belated return: within 9 months from the end of the tax year (or before assessment).
Income-tax Act, 2025, s. 393(2) (secondary source) — Tax is deducted at source on specified income paid or credited to non-residents, at the rates in the Table (in some cases 'rates in force' or the treaty rate), whether or not the non-resident has a presence in India.
Art. 4(2)(a) of the U.S.–India Convention — An individual resident of both States is deemed a resident of the State in which he has a permanent home available to him; if he has one in both States, of the State with which his personal and economic relations are closer (centre of vital interests).
Art. 4(1) of the U.S.–India Convention — A «resident of a Contracting State» is any person liable to tax there by reason of domicile, residence, citizenship, place of management, place of incorporation or any other similar criterion.
Art. 4(2)(b) of the U.S.–India Convention — If the State in which he has his centre of vital interests cannot be determined, or if he does not have a permanent home available to him in either State, he is deemed a resident of the State in which he has an habitual abode.
Art. 4(2)(c)–(d) of the U.S.–India Convention — If he has an habitual abode in both States or in neither of them, he is deemed a resident of the State of which he is a national; if he is a national of both States or of neither, the competent authorities settle the question by mutual agreement.

Updated 2026-11-04. The result is for information only and is not tax or legal advice. Tax authorities and courts may interpret the rules differently, including because of circumstances not covered here, and the law changes. Consult a qualified adviser before making decisions.

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