If you are an NRI and are returning to India permanently, you need to convert your non-resident accounts (NRO, NRE) to resident accounts. You should be allowed to continue your NRE FDs as resident FDs at contracted rate till maturity. However, when you visit the bank branch to change your residential status, you are in for a surprise. What Banks typically force returning … [Read more...] about NRI Corner: You do not have to break your NRE FD on return
In this post, I will focus on certain aspects of capital gains taxation for non-resident Indians (NRIs). Even though the rate of capital gains tax is same for residents and non-residents, there are a few differences that affect taxation for NRIs. Tax exemption limit for NRIs is Rs 2.5 lacs irrespective of age. In case of Resident Indians, the tax exemption limit is Rs … [Read more...] about NRI Corner: Capital Gains Tax for NRIs
Moving abroad for employment or planning to shift back to India permanently? How will your income be taxed? Can you continue holding NRE deposit and continue to get tax-free interest? In my opinion, everything begins with finding out whether you qualify as NRI or a resident. And this may not always be easy. To add to the confusion, the definition of Non-resident is different … [Read more...] about Who is NRI as per FEMA and Income Tax Act?
As a non-resident, you may want to take exposure to Indian equity markets. Picking up stocks on their own is not everybody’s cup of team. Such non-resident investors may take exposure to equity markets through equity mutual funds. In this post, I will discuss answer basic queries that an NRI investor may have about mutual fund investments in India. I will also discuss the … [Read more...] about How can NRIs invest in mutual funds in India?
You settled abroad many years ago. You are planning to purchase a life insurance plan. You are not sure whether to purchase a life insurance plan in India or in the country of residence. In this post, I will discuss various regulations pertaining to life insurance for Non-residents. I will also discuss whether you should purchase insurance in India or whether you should a … [Read more...] about Should NRIs purchase life insurance in India?