Finance, Forex and Investments

income made outside india by 1 person company,resident in india but income kept in forigen country,tax?

how would income made outside india by a single individual owned company registered in india will be taxed in india if 90% of profit generated are kept in a non resident account in a EU country and only 10% is been drawn to india for personal use?

Public Comments

1. 1 person company means Sole Proprietary Concern. Now the question is about your tax status. If you are an NRI, then you need not pay any tax in India and you have to pay taxes at the country where you earn it. If you are a resident Indian, since the company is your own, you have to pay tax in India. In this case the income earned by your Sole Proprietary Concern will be added to your personal income under the head "Income from Business or Profession". The profits kept in EU country and 10% sent to Indian NRE A/c dose not make any diffarence. You can still consult your or a good Income Tax cosultant in this connection.
2. There is not tax for money inwards.