Seafarer ITR Filing · Panaji, Goa
Merchant navy officer or crew needing to file an Indian income tax return? Our Chartered Accountants in Goa prepare seafarer income tax returns — computing NRI status from CDC records, correctly declaring foreign ship salary, reconciling Indian TDS, claiming all available exemptions and filing your return on time, every year.
Overview
Filing an income tax return as a merchant navy seafarer requires more care than a standard salaried return. The NRI status determination — based on days spent outside India, counted from the Continuous Discharge Certificate — defines the entire tax position. If NRI, the foreign ship salary is not taxable in India and may not even need to be declared. If Resident (due to a short year or a year between contracts), the salary becomes taxable and DTAA credits for foreign taxes paid must be carefully documented. Indian-source income such as NRO interest, rent and capital gains must be reported correctly in both NRI and Resident years. We handle every scenario.
This service connects directly with our merchant navy taxation overview and residential status under the IT Act 1961 guidance for a complete NRI compliance picture.
What's covered
End-to-end guidance and filing for your specific situation.
Get a fixed-fee quote →Precisely counting qualifying days outside India from the Continuous Discharge Certificate for NRI status determination.
Classifying the year as NRI or Resident based on the day count — determining the scope of taxable income.
Correctly including or excluding foreign ship salary from the Indian return based on residential status.
Reporting NRO interest, rental income, capital gains and other Indian-source income with correct TDS credits from Form 26AS.
Claiming credit for foreign taxes paid on foreign income in Resident years using DTAA provisions and Form 67.
Recovering excess TDS deducted on Indian income for NRI years where total Indian income is below the taxable threshold.
Our process
Share your CDC, salary details, Form 26AS and Indian income records.
We count sea days precisely and classify the year as NRI or Resident.
We complete all schedules — salary, capital gains, TDS credits, DTAA.
We e-file, e-verify and track your refund or resolve any notice.
Frequently asked questions
A seafarer is required to file an ITR if their Indian income (NRO interest, rent, capital gains) exceeds the basic exemption limit in an NRI year, or if their global income exceeds the threshold in a Resident year. Even when not strictly required, filing is strongly recommended: to claim TDS refunds, carry forward capital losses, establish the NRI position on record, and avoid any future scrutiny of non-filing.
Most seafarers use ITR-2, which covers salary income, house property income, capital gains, other income, and has a schedule for foreign assets and foreign source income. ITR-2 also has the field for declaring residential status as NRI or RNOR. If the seafarer has business income in India, ITR-3 is used. Seafarers cannot use ITR-1 (Sahaj), which is available only for Resident individuals with simple income.
NRI status is declared in the residential status section of the ITR. The day count computation — supported by CDC records — is the underlying evidence. Although you do not attach the CDC to the ITR, you must retain it as evidence. If the ITR is scrutinised, the CDC and passport are the primary documents to prove the 182-day count. We prepare a detailed day-count workings sheet for your records alongside every return we file.
If the seafarer is an NRI and the salary accrues outside India (which is generally the case for foreign ship salary), it does not need to be declared as taxable income in the Indian ITR. However, some practitioners include it as exempt income for transparency. In a Resident year, foreign salary must be declared and will be taxed, with DTAA credit for foreign taxes paid. We advise on the right disclosure approach based on your facts.
Even in NRI years, Indian-source income must be reported. This includes: interest on NRO fixed deposits and savings accounts; rental income from Indian property (if any); capital gains on sale of Indian shares, mutual funds or property; dividends from Indian companies above exemption limit; and any other income accruing or arising in India. TDS deducted on this income is creditable and excess TDS is refundable.
Form 67 is filed to claim a credit for foreign taxes paid on income that is also taxable in India — applicable when a seafarer is a Resident in a particular year and has paid tax abroad on the same income. The DTAA between India and the country of the ship's flag or the seafarer's employer's country determines the credit available. Form 67 must be filed before the due date of the ITR to claim this credit — it cannot be claimed later.
Yes, in Resident years a seafarer can claim all applicable deductions including Section 80C (LIC, ELSS, PPF contributions), Section 80D (health insurance), and Section 24(b) (home loan interest). In NRI years, deductions under Chapter VI-A are available against Indian-source income. We identify all deductions applicable to your specific income profile to minimise the overall Indian tax liability.
Contact N D Savla & Associates in Panaji, Goa. We specialise in merchant navy ITR filing — from CDC day-count analysis and NRI status determination to complete return preparation, DTAA credit claims, TDS reconciliation and e-filing. We serve seafarers across Goa and throughout India, and the entire process can be completed remotely by sharing documents online.
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Book a free consultation with a qualified Chartered Accountant in Goa. We'll file your seafarer return accurately — no obligation.