"The Supreme is present in every living entity." (Bhag. 3.29.21)
Some of those who deride Krsna, who are infected with the Mayavadi philosophy, quote the following verse from the Srimad-Bhagavatam to prove that Krsna is just an ordinary man. Aham sarvesu bhutesu bhutatmavasthitah sada: "The Supreme is present in every living entity." (Bhag. 3.29.21) We should better take note of this particular verse from the Vaisnava acaryas like Jiva Gosvami instead of following the interpretation of unauthorized persons who deride Krsna. Jiva Gosvami, commenting on this verse, says that Krsna, in His plenary expansion as Paramatma, is situated in the moving and the nonmoving entities as the Supersoul, so any neophyte devotee who simply gives his attention to the arca-murti, the form of the Supreme Lord in the temple, and does not respect other living entities is uselessly worshiping the form of the Lord in the temple. There are three kinds of devotees of the Lord, and the neophyte is in the lowest stage. The neophyte devotee gives more attention to the Deity in the temple than to other devotees, so Jiva Gosvami warns that this sort of mentality should be corrected. A devotee should see that Krsna is present in everyone's heart as Paramatma; therefore every body is the embodiment or the temple of the Supreme Lord, and as such, as one offers respect to the temple of the Lord, he should similarly properly respect each and every body in whom the Paramatma dwells. Everyone should therefore be given proper respect and should not be neglected.