I-T okay waived for overseas travel

The Finance Ministry has scrapped the need for mandatory income tax clearance for people leaving India, except in the case of those specifically notified by I-T authorities.
This decision, made on the basis of a recommendation from the Vijay Kelkar-headed task force on direct taxes, was announced in a statement issued here today.
Section 230 of the I-T Act would now be amended, the statement added. The liberalisation applies to residents of India, NRIs and foreign nationals. Those emigrating to another country or travelling on a work permit will benefit from this change. The move, aimed at cutting down red tape, will come into force with immediate effect. “... from now on, any person who is not domiciled in India or who is domiciled in India at the time of his departure but intends to leave India as an emigrant or intends to proceed to another country on a work permit with the object of taking up any employment or other occupation in that country.