CMA Intermediate · Financial Accounting · Accounting of Limited Liability Partnership
For the purpose of the designated partner rule in the LLP Act, 2008, a person is 'resident in India' if he has stayed in India for a period of not less than:
A person is resident in India for the designated partner rule if he has stayed in India not less than 120 days during the financial year. The earlier test of 82 days in the preceding year was substituted from 1 April 2022.
- A182 days during the financial year
- B120 days during the financial yearCorrect
- C82 days during the immediately preceding one year
- D60 days during the financial year
Explanation
The Explanation to Section 7 defines resident in India as a person who stayed in India for not less than 120 days during the financial year, after the 2021 amendment effective 1-4-2022. The 82-day figure was the earlier rule, now substituted, and 182 days is the income-tax style test, not this one.
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