Income earned by a Non-Resident Indian abroad is not taxable in India by default. However, if the income of an NRI in India from sources such as capital gains from investments in stocks, mutual funds, property rental, and term deposits exceeds the basic exemption ceiling as established in the Income Tax Act, they must file a tax return., A foreigner is any person who is not an Indian citizen. Whether a foreign national is required to pay Indian income tax is determined by the individual`s actual presence in India during the fiscal year that runs from April 1 to March 31, regardless of citizenship or purpose of stay.