NRIs Face Tax Notice and Court Denial Over Delayed Income Tax Return Filing Despite TDS

Two cases involving Non-Resident Indians (NRIs) highlight challenges in complying with Indian tax laws on property transactions. In one, a US-based NRI who purchased property worth Rs 66.95 lakh faced a tax notice and lost an appeal due to delayed response despite TDS deduction. In another, a Canadian NRI who sold property for Rs 2 crore was denied relief by Delhi High Court for late ITR filing, as ignorance of tax laws was not accepted as a valid reason. Both cases emphasize the legal obligation to file income tax returns regardless of TDS deductions.