Move to Abu Dhabi for tax-free income?
3+ yoe, SDE, 27 LPA cash. I'm stumped, my company is considering sending me to Abu Dhabi for ~1.5 years. My accommodation would be paid for and only expenses would be food and my wants. But I'm told that for the 1.5 years I'm in abu dhabi, I'd have no promotions or hikes, just the tax free income. Now here's the problem, I've been doing good lately and am expecting a promotion (33 LPA cash India pre-tax, 50 LPA cash if in abu dhabi). Should I wait for a promotion with the risk of missing the chance to go abroad or stay in India where I have a very rich social life and all the comforts of life. If I go now, I'd be stuck at 36 LPA in Abu dhabi for the next 2 years without a social life.
Just completed my 2 years in same program you’re talking about. 36 LPA is low but given all expenses are borne by them, You just need to take care of your foods. I’d say go and explore. I was in same mindset. Given a chance, I’d love to spend more time here in AD. There’s lot of things to explore after work hours. Yas Island nearby, lots of beaches and winter is mind blowing.
Noob question: if you work in abu dhabi will the company deposit money in your indian bank account? Or If they do it in overseas bank account, what are the charges to bring it to indian bank account?
Now that I've been here I guess I can answer. Money is deposited in an overseas account. There aren't any specific bank charges when transferring within the same bank eg HSBC UAE to HSBC India, but you have to be careful of the currency conversion rate.
I want to understand this point of resident status.
"If he/she is in India for at least 365 days during the 4 years preceding that year AND at least 60 days in that year."
According to this if an indian citizen lived in india for whole financial year from 1 april, 2022 to 31 march, 2023 that would be 365 days and go to another country to live for next financial year, he will be liable to pay taxes in india for that year as the preceding year he had lived for 365 days.
OP how does one pay no IT with this rule?
From what I know, for Indian citizens working abroad, the 182 days rule applies i.e if you are in India for 182 days only then you are considered resident Indian.
Your comfort in India can never be matched with that of any other country. Money is not everything in my opinion.
