One hundred and eighty-three (183) days rule

Tax Glossary Definition

One hundred and eighty-three (183) days rule

The 183 Days Rule is a tax rule used by many countries to decide whether a person is a tax resident. If someone stays in a country for 183 days or more in a year, they may be treated as a resident and might have to pay tax on income earned there, and in some cases, on their worldwide income.

Example: If an Indian employee works in the UK and stays there for 190 days, the UK may treat them as a tax resident, and they will have to pay tax on their UK salary according to UK tax laws.

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