Can NRIs Have Tax Residency in Two Countries at the Same Time?

I don't think there's a simple yes-or-no answer because each country's residency rules are different.

One common misunderstanding is assuming that becoming a resident in one country automatically makes you a non-resident elsewhere. That's not always true.

A colleague of mine was treated as a resident under both India and the UK rules during one tax year. His advisor applied the DTAA tie-breaker provisions after reviewing his permanent home, habitual residence, and personal connections.

If your case involves salary, investments, or rental income in multiple countries, I'd strongly suggest speaking with someone familiar with cross-border taxation. Requirements can change, and treaty interpretation depends on individual facts.

I'm based in Canada, and something similar happened after I accepted a temporary assignment in India.

One thing I learned is that "tax resident" doesn't always mean the same thing in every country. It's possible to satisfy the domestic tax residency rules of more than one country during the same tax year.

In my situation, I still had to report income in both jurisdictions, but foreign tax credits and the DTAA helped prevent double taxation. My accountant also reminded me that treaty benefits aren't always automatic—you generally need to claim them correctly while filing your returns and keep supporting records.

The biggest challenge was tracking my travel dates accurately. I kept copies of boarding passes and passport stamps because both accountants wanted precise day counts.

I went through almost the same situation last year. I'm a Green Card holder living in Texas, but I spent around six months in India looking after my parents. Both my U.S. CPA and my Indian chartered accountant initially reached different conclusions about my residency.

In my case, I technically met the domestic tax residency rules in both countries. However, that didn't automatically mean I had to pay tax twice. My advisors reviewed the India–USA DTAA and looked at factors like my permanent home, where my family lived, and where my economic interests were located.

The treaty helped determine which country would be treated as my primary tax residence for treaty purposes. I still filed returns where required but claimed relief according to the applicable provisions.

Every case depends on your travel days, visa status, income sources, and residential ties, so I'd recommend getting both advisors to review your facts together.