What are the tax implications of being a Non-Resident (NR) under the Income Tax Act?

Individuals classified as Non-Residents (NRs) are liable to pay tax in India only on their Indian-sourced income. Their global income earned or received outside India is not taxable in India. NRs are subject to specific tax rates, which may differ from those applicable to Residents. However, they are eligible for certain tax deductions and exemptions specific to their status.