The 

Government of India Act 1858 established the British Raj and formally brought the majority
of Indians under British imperial rule. Indians under the British Raj generally fell into two
categories:

 Indians resident and born in British India came under the direct dominion of and bore
allegiance to the British Crown, and held the status of British subject. From 1 January 1915,
the British Nationality and Status of Aliens Act 1914 defined British subjects as those born or
naturalised in the British Sovereign's dominions (including British India) along with their
spouses and children.[2]
 Indians resident and born in a princely state under the British Raj, or in any
other protectorate under the British government, held the status of British protected person.
[note 1]
 British protected persons were considered de jure foreigners, but could travel on British-
issued passports.
Effective from 15 August 1947, India was established as the independent Dominion of India. All
Indians resident, born in or naturalised in the Indian provinces legally remained British subjects
by virtue of Section 18(3) of the Indian Independence Act 1947. Indians residents in the princely
states that acceded to India were also regarded as British subjects, while those resident in British
protectorates retained the status of British protected persons