Common Frequently Asked Questions

Yes, you can do this. There are no US tax implications on the money that you send from the sale of your Indian property to the US. Although it totally depends on the amount of money involved in this. In some cases, you may need to report this transaction by using IRS Form 3520.

Yes, there is a limit on the properties an NRI can sell in India and repatriate their funds. It is restricted to two residential properties.

The processing time for the NRI's repatriation request varies from one bank to another. In some banks, it takes about 2 working days, while in others, it can also take 7-15 business days for the submission and approval of your request.

A citizen of the US or a dependent of a US citizen is eligible for the repatriation of funds as per the US Repatriation Program. It also refers to the NRIs who transfer their income and asset proceeds out of India.

For NRIs of India, the meaning of Repatriable means the ability to send the funds freely from India to other foreign countries, which includes the principal amount and interest, while Non-Repatriable means the funds that are not allowed to freely move outside of India and are restricted.  The Repatriable accounts are generally linked to the NRE (Non-Resident External) accounts, and they don't have any limit for sending the money. The Non-Repatriable accounts are linked to the NRO (Non-Resident Ordinary) accounts, and they are restricted to transferring 1 million USD per financial year.

According to the FEMA regulations for NRO accounts, the principal amount of 1 million USD per financial year is allowed to be repatriated. You should keep in mind that there will be a TDS deducted from the interest earned on the NRO account.

You are not allowed to maintain NRE accounts after returning to India. You need to convert it into a resident savings account or transfer the funds into an RFC account.

The income earned in India by an NRI is liable to tax in India. The income that is earned outside India is not taxable in India.

The Exit Tax was levied under sections 115TD to 115TF of the Income Tax Act, 1961. It was imposed on the Accreted Income for trusts and institutions. It was introduced to address the merger, conversion, or dissolution of religious or charitable institutions that have previously experienced the tax-exempt status.

There are, as such, no penalties for not declaring the NRI status in India as per the guidelines of FEMA.

No, you cannot keep maintaining your NRI accounts after returning to India as per the RBI guidelines. You need to convert these NRI accounts into resident savings accounts.

Once you permanently move back to India and your status becomes a resident Indian from a non-resident. Then, you must inform all the financial institutions about your status change and get your NRE/NRO accounts converted to the resident savings accounts within a time limit. If you fail in doing so, then it will be considered a violation of the regulations of FEMA.

You can avail the benefits under the DTAA provisions until your NRI status remains NOR. Once your NOR status changes to ROR status, you cannot avail these benefits.

After an NRI returns to India, their NRI bank accounts will be converted to resident savings accounts. There will be interest earnings and NRI taxation applicable to resident Indians.

To convert your ICICI account to an NRO account online, you need to visit the ICICI online net banking and search for the account services option or account conversion to change your ICICI bank account to NRO account, then gather all the valid documents for the conversion application, like a copy of your passport, proof of residency, address proof in your current country, or any essential documents referred by the bank, then you need to submit your application, and follow up your bank for smooth application process, and you will easily get your ICICI NRO account.

To open an NRI account in India, you need to go to the official webiste of the HDFC Bank and fill in all the details for the HDFC NRO account, then you will get a call from the Bank representative to assist you further for the smooth application process. Here are the documents that you will need to submit to open an NRO account online: NRI account opening form, 2 passport-size latest photos, a copy of PAN card, proof of Identity, proof of NRI/PIO status, and proof of address.

Yes, you cannot convert your SBI savings account to an NRO account by simply downloading a request letter by clicking on the option ' For converting a resident Indian savings bank account into an NRO savings bank account from the download forms. Then you need to post your form to the home branch of your bank account with all the supporting documents, and you can have your SBI NRO account opened easily.

Yes, it is legally valid if you get an Attestation from the USA  to transfer the property in India under the Indian succession Act, 1925 if any execution of the will or or beneficiary have any property rights then they can get it by submitting a valid application in the court for the transfer of property and apply for a probate before the court.

Yes, an Attestation of will is mandatory in India under the Indian Succession Act, 1925, where a will needs to be witnessed by a minimum of two witnesses. These witnesses must see the testamentary sign or must get an acknowledgment from the testator to verify the signature.

Here is the proof of US visa status that you can submit for your attestation of the Will application: a copy of the Visa page H1B, H4, L1, L2, Green card, Employment Authorization Document (work Permit), and I-797, I-140, I-20.