working from india for US employer

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r2i2010

New Member
Hi,
I am an indian citizen currently in US on H1-B/EAD valid till 2011/AP till 2011 working for current employer since 2001. I have decided to return back to India due to family reasons on 1st april 2010. however my company wants me to continue to work for them from india as an employee. Is that possible? Please let me know what constraints if at all are involved and also whom should I seek help regarding information on taxes for India and US?

Thanks
 
If US Company pays in $'s to your US Bank then you no need to file taxes in India.

If they are paying indian rupees then you have to pay taxes in India they don't have to deduct taxes in US.

You have to file your US Tax Return if they payin US bank before april 15th on what ever you earn in W-2. This can be done in on-line but keep your home address as your workaddress to get your tax stuff to the company address or give your friends address in US.

Other then that you don't need any thing more.
 
Thanks for your reply.They are going to pay in $ to my bank account in US. But this should work only for 6 months right ? since after 6 months I will lose my Non resident Indian status ? Then I wont be able to keep a bank account here?
 
Before leaving for India, you should sort out how the payment arrangements will be made on permanent basis. Ask them to mail you a check to India or deposit money in your Indian bank account to prevent any tax/IRS hassles in the future.

That way, you will file US tax return only for 2010. Thereafter, you will not have any US connection (not even having a bank account) and therefore you will have to file only indian tax return.

r2i2010 said:
Hi,
I am an indian citizen currently in US on H1-B/EAD valid till 2011/AP till 2011 working for current employer since 2001. I have decided to return back to India due to family reasons on 1st april 2010. however my company wants me to continue to work for them from india as an employee. Is that possible? Please let me know what constraints if at all are involved and also whom should I seek help regarding information on taxes for India and US?

Thanks
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