IS IT TRUE THAT ONE MUST HAVE INCOME TAX CLEARANCE FROM THE INDIAN GOVERNMENT BEFORE IMMIGRATING/STARTING THE JOURNEY TO CANADA?
HAS ANY ONE MADE IT WITHOUT SUCH A CLEARANCE?

Hello Bangalorean:

I am a Chartered Accountant from India, a canadian qualified accountant.With this background and general knowledge of immigration matters,I will attempt to elucidate you:

As per the Income Tax Act 1961(india), any person emigrating out of India is required to obtain an Income Tax Clearance Certificate. The basic intention is that the person leaving India has no tax liabilities or disputed taxes. In the event of any tax liabilities pending or disputes, the clearance certificate will not be given. Legally, immigration authorities are required to ask you to produce this certificate before they stamp your passport and permit you to board your flight. In practice this is rarely done.

Now, at the Canadian side, after you complete 3 years and apply for citizenship, the Canadian authorities will conduct investigation and obtain clearance certificates (on their own) from police and government authorities in all the places where you have lived or resided. It is at this stage that a non Income Tax clearance certificate can cause problems for you prior to your becoming citizen of Canada.


Also, if the tax liability is huge, the Indian authorities can cause you to be arrested the next time you arrive in India.

Hence, considering all these factors it is always prudent to observe the spirit of the law and get the certificate. While it can be a bit cumbersome and delay,in the end, it is worth the effort in terms of peace of mind and legal observance.


I hope I have answered your questions;if you have any further queries,please do not hesitate to contact me

Sathish

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Sathish Subramanian
Email:

As far I know this certificate is not necessary for the persons having PAN card in India. IT department stopped issuing this certificate abot two years back after the Budget speech of Indian Finance Minister.

And recently some of my two friends who have flied abroad has confirmed it, you can also look indian govt site and <<www.nic.in>> for it.

And still any new info from an experienced had will be more helpful..

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Enjoy Happiness -- Happy from India

Thanks Satish & Thanks Happy. Information is quite usefull.

I had decided to get it anyway in 97 before I left. Was not asked for it but wont let customs hassle me last minute for few hundred rupees so if you can get it, just get it.

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DIE HARD !

India has progressed a lot since 1997 and same is the case with the IT department.

Now they say when there is no need of IT clearenece certicicate why do u want it. If anyway u want; it will still cost you the same...

So, now there is no need now, three of my friends flied to foreign countries in last week of september without an IT clearence certificate....

and I confirmed it from the travel agents and the IT office also...

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Enjoy Happiness -- Happy from India

Thanks Happy. But As per your earlier advise I visited the site <<www.nic.in>> and found that it is mentioned people immigrating from India require IT clearance. I do not know if that site contains outdated information.