Rule 126 CDC Counting • Section 10(4)(ii) Exemption

Merchant Navy & Seafarers: File Your 100% Tax-Exempt Return Safely

Avoid defective ITR notices and high-value foreign remittance scrutiny. Our specialized Chartered Accountants verify your Continuous Discharge Certificate (CDC) sign-on/sign-off dates and file your annual ITR-2 with complete statutory audit defense.

Rule 126 Physical Proof

Inclusive statutory days counting:

  • Sign-on Date counts as OUTSIDE India
  • Sign-off Date counts as OUTSIDE India
  • ≥ 182 Days outside = 100% Tax Exempt
  • NRE Interest completely tax-free
Automated CDC Stamp Inspection 100% Ephemeral • Zero Server Storage Rule 126 Statutory Engine

Continuous Discharge Certificate (CDC) Stamp & Days Scanner

Upload a photo, scan, or PDF of your CDC voyage stamps. Our automated verification engine extracts vessel names, sign-on and sign-off dates, calculates your days outside India under Rule 126 inclusive counting, and instantly checks your Non-Resident (NRI) tax exemption status.

Drag & Drop Your CDC Page / Stamp Photo Here

Supports JPG, PNG, WebP image formats and PDF files (up to 10MB)

Privacy Guaranteed: Your document is parsed in memory and never stored or shared. Rule 126: Sign-on & Sign-off days included.
Initializing CDC Inspection Engine...

Inspecting CDC Pages & Entry Stamps...

Pre-processing document contrast & enhancing stamp clarity...

Audit Defense

Why Generic CAs Often Get Seafarer Returns Wrong

Seafarer taxation has unique rules under the Income Tax Act. Filing under the wrong form or missing Section 10(4)(ii) schedules triggers automated tax demands on foreign sea pay.

AIS / SFT Mismatch Notices

Banks automatically report high-value foreign remittances from shipping principals to the Income Tax portal. If your return doesn't report it under exempt schedules, demands are issued automatically.

Passport vs CDC Stamp Confusion

Unlike regular travelers whose days count on passport immigration stamps, seafarers are legally governed by the Continuous Discharge Certificate (CDC) entries under Rule 126.

Clean Form 16 / TDS Mismatch Defense

If an Indian manning agent deducted TDS in error, our CA desk files corrective refund schedules to get 100% of your withheld money back into your bank account.

ITR-V Verified Filing AY 2026-27

Success Story: Chief Marine Engineer on Container Fleet

Voyage: 194 Days Outside India (Rule 126 CDC) • TDS Deducted: ₹2,39,807 • Full Refund Recovered: ₹2,39,810
₹2,39,810 Refund Credited
Verified Statutory Filing Computation & Proof
Days Outside (Rule 126 CDC) 194 Days (≥ 182 Days) Qualified Non-Resident
Indian Taxable Income ₹8,290 Domestic bank interest only
Net Indian Tax Payable ₹0.00 100% Sea Salary Exempt
Taxes Paid vs Refund Claimed ₹2,39,810 Refund TDS ₹2,39,807 + Sec 288B round
Form Number: ITR-2 Assessment Year: 2026-27 Filed u/s 139(4)

Official Verification: Electronically transmitted & Aadhaar OTP verified via EVC. High-value foreign remittance audit defense successfully established under Section 10(4)(ii).

Status on Income Tax Portal: Verified & Refund Processed
Initial Client Challenge
  • Manning Agency TDS Error: The employer had deducted ₹2,39,807 under regular salary withholding (Section 192), despite over 190 days outside India.
  • High Risk of AIS Scrutiny: Foreign wages remitted into India triggered high-value AIS compliance alerts, with risk of automated demand notices if filed incorrectly.
  • Locked Capital: ₹2.4 Lakhs of hard-earned sea income was trapped with the tax department without professional intervention.
Our Specialized CA Resolution
  • Rule 126 CDC Audit: Certified physical voyage stamps with inclusive sign-on/sign-off counting, confirming definitive NRI status.
  • Statutory ITR-2 Return: Reported foreign sea earnings under Section 10(4)(ii) exempt schedules while claiming full TDS credits.
  • 100% Refund Recovered: Successfully recovered the full ₹2,39,810 refund directly into the client's bank account with statutory interest under Section 244A.
Rule 126
CDC Inclusive Days

Statutorily mandates that both the date of signing on the Continuous Discharge Certificate and the date of signing off count as days spent outside India.

CBDT Circular 13/2017
NRE Salary Safety

CBDT confirmed that salary received by non-resident seafarers for services outside India is non-taxable even if deposited directly to an Indian NRE account.

Section 10(4)(ii)
NRE Interest Exemption

Any interest earned by a non-resident individual on funds held in Non-Resident External (NRE) savings or fixed deposit accounts is 100% exempt from Indian tax.

Section 139 / ITR-2
Mandatory Filing Form

Seafarers with foreign salary credits and exempt NRE accounts are legally required to file ITR-2 with Schedule EI (Exempt Income) to avoid scrutiny notices.

Book Your Seafarer Tax Return Filing

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