Salary accrued outside India cannot be taxed in India merely because it is received in India

ITO (International Taxation) Vs Dylan George Smith (ITAT Bangalore) Explore the International Taxation dispute of Dylan George Smith vs ITAT Bangalore. Analysis of salary income taxation on accrual basis. Legal insights. Tribunal in the case of Prahlad Vijendra Rao (supra) in identical circumstances has held as follows: “We have heard the rival submission and perused the material on record. We are of the view that AO has wrongly construed the provision of section 5(2)(a) of the Act while holding that the salary income was received in India and hence taxable. Salary income is taxable on accru...