Seafarers have sought government intervention to be exempted from meeting the qualifying rules for Non-Resident Indian (NRI) status that grants tax-free income for FY 21 due to the pandemic induced restrictions on crew change, according to an article published in The Hindu BusinessLine.
MUI speaks
“As a result of this dual challenge, the seafarers on shore have not been in a position to fulfil the officially declared criteria of working outside India for more than 182 days in a year to qualify as NRI,” said Amar Singh Thakur, general secretary, Maritime Union of India.
While shipping companies are doing their best to overcome the challenge on crew change, “the damage is already done as six months have already elapsed (April to September)”.
“As a result, there is no possibility for an overwhelming majority of seafarers to qualify as NRIs for the current financial year,” Thakur stated. The issue, according to Thakur, has affected seafarers’ employment prospects and it appears this will continue in the coming months.
“In order to improve the morale of seafarers, we need to be fair to them and grant exemption from income tax for FY21 since the pandemic continue to hamper their jobs,” Thakur said while urging the Minister to ensure that “appropriate circulars” are issued to exempt seafarers who are not in a position to qualify as NRI for no fault of their own.
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Source: The Hindu BusinessLine
