Section 217
Application of benefits under sections 212 to 216.
About this Act
An Act to consolidate and amend the law relating to income-tax.
(1) Where a non-resident Indian in any tax year,—
(a) becomes assessable as a resident in India in respect of total income in a subsequent year; and
(b) furnishes a declaration in writing to the Assessing Officer along with 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 216 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 shares in an Indian company, then the provisions of sections 212 to 216 shall continue to apply in relation to such income for that tax year and every subsequent tax year until the transfer or conversion (otherwise than by transfer) of such assets into money.
(2) A non-resident Indian may choose not to be governed by the provisions of sections 212 to 216 for any tax year by declaring it in his return of income under section 263 for such tax year, and if he does so,—
(a) the provisions of sections 212 to 216 shall not apply to him for that tax year; and
(b) his total income for that tax year shall be computed and charged to tax according to the other provisions of this Act.
(a) becomes assessable as a resident in India in respect of total income in a subsequent year; and
(b) furnishes a declaration in writing to the Assessing Officer along with 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 216 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 shares in an Indian company, then the provisions of sections 212 to 216 shall continue to apply in relation to such income for that tax year and every subsequent tax year until the transfer or conversion (otherwise than by transfer) of such assets into money.
(2) A non-resident Indian may choose not to be governed by the provisions of sections 212 to 216 for any tax year by declaring it in his return of income under section 263 for such tax year, and if he does so,—
(a) the provisions of sections 212 to 216 shall not apply to him for that tax year; and
(b) his total income for that tax year shall be computed and charged to tax according to the other provisions of this Act.
Notes
36. Substituted by the Finance Act, 2026, w.e.f. 1-4-2026. Prior to their substitution, sub-clauses (i) and (ii) read as under : “(i) shall be deemed to be the amount eligible for credit under corresponding provision of this Act in the case of said assessee; and (ii) credit for the tax paid under the repealed Income-tax Act shall be allowed under this Act for the period for which it would have been allowed under the repealed Income-tax Act if the assessee otherwise continues to satisfy the conditions as specified in the corresponding provisions of this Act in such tax years;”