If you are an NRI, are wondering whether you need to file Income Tax returns in India, this post will help you. Any Income which accrue or arise in India, wil be taxable in India.

When an NRI should File IT Returns in India? Important Points to Note. Are there any exceptions? Yes, there are two exceptions: File IT Return to Claim TAX REFUND. Also, if you have capital loss that can be set-off against capital gains and TDS was deducted on the capital gains, but you can set-off or carry forward capital loss against the gain and lower your actual tax liability.

In such cases, you would need to file a tax return. Which IT Form is applicable for NRI. What is the best way to file your returns? There are 3 ways in which you can file your tax returns. Do it yourself for FREE. You can do it yourself using Income Tax department Online Tax filing portal. It provides a free method to upload your tax return online. Read the post on — How to file Income Tax return online for FREE. There are many online portals which provide service to file returns, They also offer professional help in filing the returns.

Go with your Chartered Accountant. Get help from your trusted CA to file the returns. How NRIs can save Tax on Income generated in India. Other Important Posts for NRI related to Best Exchange Rates, NRE FD Rate Comparison, NRI PPF RulesNRI Bank Accounts etc. Kindly can you provide your views and guide on below situation with possible way forward to save tax on interest earned.

My current status is Residant Indian RIi need to travel overseas for work purpose. Hi, When you become a Resident Indian, then you need to notify that to your bank. They will either close your NRE FD or convert the NRE FD into resident FD. Any interest earned in Residnet FD is taxable. Yes, NRE FD Interest is tax free in India because government is giving incentive to NRI to send their money in India.

No need to file anything? And this is for both NRIs and residents? But for NRI, you need ot file return if you have taxable long term or short term capital gain. I am an NRI. I have sold some shares in Fy These is a short term capital gain in shares and long term capital loss in Gold ETF. Can you please confirm: For NRIs chapter VI-A deductions are applicable or not, As in ITR2 form, In sheet PartB- TI-TTI-SAL 11th row, it is not taking the benefits for chapter VIA- 80C etc even though I have given details in schedule VI-A 2.

Is it required to include NRE Bank account interest and NRE Fix Deposit interest. If yes which schedule and section. In Schedule CG, for LTCG the purchase price to be taken without index or with index. Last Year I have shown loss from house property, Can I set off this in CYLA-BFLA sheet for remaining income amount.

If yes then how? In Schedule CFL, I have entered last year house property loss, is it ok? My Last year ITR is not fully processed yet. I am a NRI and I do not have taxable income in India more than Rs 2 lakhs but I have three houses in my name two in Bangalore city, one in Tamilnadu. All the three houses are NOT LET-OUT and income from these houses is NIL.

Actually I spend money to maintain the houses like cleaning, watchman, gardening etc. I would like to know whether I need to file IT returns or not. I dont have any shares or any other investments. Only some NRE FDs I have. I would appreciate if you can advise me regarding this. Even if the houses are not let out, it will be deemed to be let out 2 houses. I am a NRI from last 3 years, i dont have any nri r nre account in india, i do have 2 savings account in 2 banks, i used to transfer around 30 to 40 thousand to banks monthly, if this money is taxable?

But any interest earned in that account will be taxable. But Interest in NRE Account is tax free. From last four years, I am working outside India and not having any source of Income in India. I am sending my Savings to my NRE account in India, Do I have to submit Income tax return form with Bank Statement?

Is there any issue if I spend my NRE savings in any asset purchase back home in India. Hi Sandeep, As NRE Interest is tax fre, you are not required to submit IT return in India. There is absolutely no issue in buying property from NRE Account.

This is the most common option for NRI. During this year I have only had salary income, and no other income. In Europe, I have paid income tax for the year. Lets assume it is INR While submitting my return in India the tax calculator obtained a number as my tax liability to be assume INR How can I apply to the Income Tax Department, CBDT that since I have already paid my income tax for the year I do not need to pay AGAIN this income tax in India? Hi, 1 It will depend on your residnetial status in India.

Since when you are outside India? You can claim tax relief for the tax paid outside india by filling details in above schedules while filing IT return.

I am working abroad since May However, i have frequently transferred money back to India to a Savings Account and a NRO account. In this scenario, do I need to file IT returns in India?? I am presently a NRI. I had bought some equity shares of listed Indian companies when I was a resident Indian. My queries are as:. The dividends that I receive from my equity shares which I bought as a resident are they taxable?

Are long term capital gains from equity shares which I bought as a resident taxable. Any dividend received from Shares is TAX FREE irrespecitve of residential status 2. If you sell after 1 year Long term capital Gain — the LTCG on Shares is NIL. So it is NOT TAXABLE. Thanks for your valuable inputs. I am a NRI and transferring my funds to NRE account. Normally i transfer some funds from NRE to NRO account from where I am sending it to my parents for their routine expenses.

I bought a property and the funds were transferred from NRE Account, which I believe is absolutely fine. My question here is that since NRE interest income both savings and FD interest is exempted and I get some interest on NRO account which is very minimal due to the fact that I keep very low balance, do I need to file ITR.

There may be a possibility that TDS is deducted by bank on your NRO Interest. Otherwise, there is no need to fiel the returns. Also, NRO account should be mainly used for any income generated in India e. You can transfer money to your parents directly from NRE account. For that you donot need to transfer the money to NRO. I am an NRI for the last 3 years. Last asst year i,e I have filed the return but got a demand notice.

I have revised the return in ITR2 and submitted under the option rectification of mistake. Again my salary earned abroad has been taxed and demand raised by the IT dept. I do not know how to deal with the matter.

Hi, Could you pls provide more details as If you are NRIany foreign salary cannot be taxed in India. How much tax did you paid.? How much is demand notice and for which income etc?

I was posted to Bangkok Thailand on official duty on temporary basis from Now I am again transferred to Muscat Oman for 3 years posting and shall proceed on In between I shall be visiting India from What will be my tax liability in India as my stay outside India is more than days in total for FY AY as the stay outside India is intermittent not continuous for daysbut exceeds in total. Can I claim refund for the excess amount deducted at source by my employer my means of IT return?

Or I have to pay tax on the total income for the relevant year. Do I have to file ITR? Hi Hirak, As youa re out of india for more than days, and you left India for employment outside India, you will be treated as NON-resident in India for taxation purpose. As a non -resident, you only need to show your Income in India. So you should file your return in India showing the salary received in India for FY You can then claim the TDS deducted by your employer as well. You need to calculate the tax amount on your India income and then check if the TDS deducted as more or less.

Accordinly, you need to either pay tax or claim refund. I am planning to go abroad as Permanent Resident with my spouse and minor child. How much money can we take when we go abroad as Permanent Resident from my FD deposits in India. Under the RBI Liberalised Remittance Scheme LRSyou can transfer upto USD approx.

Once your normal account becomes NRO account, you can send upto USD 1 million from NRO to NRE Account. I am little confused with some contradictor statment on intererest earned on NRE FD deposited. Hi Dilip, As it is capital receipt, this is not subject to tax. However, the interest of Rs 2 lakh will be taxable on accrual basis.

I have moved to Australia in March but have not converted my resident saving accounts to NRO accounts. I have received interest in these accounts. How do I inform my NRI status to IT dept, will filing my return as NRI be enough?

Normally IT dept donot cross verify the bank account status. So you can convert the account to NRO now, if you wish so. For future FD, it is better to open NRE Account as any interest earned on NRE FD is tax free in India. Just one more question. Is it a forex violation? Sir I have pension income in india.

In which saving i can invest to minimise my tax liabilities. Please advise me as i am going to india very soon to open nre accounts and to designate resident accounts to nro. You can open the NRE account without visiting India. As an NRI, you need to pay tax on Long term capital gain even if it is less than exemption limit. I have a NRE account. I have been leaving in Europe for past 1. Recently, I opened NRE FD for a period of 10 years.

Now I am scheduled to return to india in next 1 month. Can you let me know what will happen to the money in my NRE account and what will happen to my NRE FD. I have only completed 8 months of the FD. DO I need to close them now before traveling back to india? DO I have an option to close my NRE FD once I reach India? What will happen to the interest earned on the FD? You donot need to close before traveling 2.

Yes, you can do that within 6 months after coming to India 3. Once your NRE FD is converted into normal FD, it will be treated as normal Interest and you need to show them in you income tax return.

Sir, I am a seafarer. According to the rules if i stay for more than days out of India in a financial year i am given nri status. My shipping company pays my salary in usd which is deposited in my nre account in ruppee according to usd to inr rate on the day of deposit.

I am planning to visit Europe on tourist visa where they require income tax returns also, how should i file my ITR if money earned outside India is not taxable. Also if my salary is taxable in India or not since i am working for a Danish company and salary is paid by its Indian office.

So you will get Form 16 for time you are in India. You can fiel return for that amount. I have read your blogs and appreciate your service. I am an NRI for longtime now and I have been using the Resident savings account also for longtime.

I do have some old FD under this account,however the interest earned is much less than the limit. Also in all my investments and bank accountsmutual funds etc, my indian address is apprearing will there be any issues. Hi, Normally if you are NRI, you should declare it to your bank and also change the status in your investments. But many people forget to make these changes because they think they will be coming back to India in near future. You should at-least make sure that you file your tax returns declaring all income.

In case you are planning to stay abroad for long time, you should get the status converted to NRI. Hi, On 25th July I left India after getting job opportunity in Australia. I have already left India and right now residing in Australia and will be upto minimum 4 years.

Before July I was resident of India as per FEMA and taxation purpose. I would like to know in the next tax file return after March i. Which option do I need to select while doing tax file return by myself? Also do I need to change the residence status for all my Indian saving accounts? In this case do I need to pay tax for all the money I am sending to my Indian accounts? Also I am making few FDs in indian accounts, for those FD interest TDS is getting deducted, can I file them for tax refund?

Your reply and clarificaion to all my doubts is highly appreciated. Hi Manas, as for FYyou will be out of India for more than days and left India for employment, you will be treated as Non resident. If you still have HDFC resident account in India, they can deposit money in it. When i tried to access form 26as from saudi, it showing NRI link. Getting that amount once should not raise issues.

But If you are getting per month Rs 1 lakh in your account, you may need to explain the source of Income. Also, when you try the link for 26AS from outside India, it gives that message. Do I have to pay tax in India for the interest from FD. I was tihnking that I only declare that in US and pay US Tax as NRE FD are tax free.

NRE FD are tax free but these are open to Non residnets only. If you are working in India for whole year, you will be treated as resident in India. So you are obliged to notify Bank about your residential status and they will convert the NRE FD to normal FD.

In that case, any Interest earned should be included in your Indian Income and pay taxes accordingly. You should be able to claim taxes paid in India while filing US returns. Vivek, Thanks for the quick response and detailed answer. On your return to India, you can convert the FCNR deposit to RFC deposits Resident Foreign currency deposits.

Do you provide TAX services for US Citiizens living in India? However, will be happy to answer your queries posted here. Hi, I am working in US for last 2 years. In this year my net income in India is very low.

But I have a refund claim which is also not more than What are the options? I have been staying in Germany on long term deputation since last year Sept, Now, I am moving back to India in December, My company used to pay me my Indian salary component directly to my German bank account in Euro as part of my German Salary. Now, once I go back, they will deduct TDS on the Indian salary paid to me since April, My company has also been paying german taxes as applicable on my behalf.

Now, my question is, since technically my earning or salary credit in terms of INR was 0 from April to Nov, no money was deposited to my salary account, Why are the deducting the TDS since april on the amount which I have not earned in India.

Also, even if they deduct TDS, Can i claim refund during my return file?? Hi Rahul, You need to get clarity from your HR regarding the split between your Indian Salary and German Salary. Also, you need to have sufficient details of how much income was taxed in Germany. While filing return, you can calculate the tax on your total income and claim the TDs deducted by your employer as well as taxes paid in Germany.

Dear Mr Vivek Jain I left India by Aug for a job in Africa. I have opened NRE and NRO accounts and transferring my salary into NRE account. But before starting from India I have transferred money to my own brother Rs 6. My brother lives in India. He is paying back about 40 to 50 thousands every month into my NRO account from his bank account.

I need to file tax returns in the coming year as I have to claim reimbursement of TDS detected by my employer between April and July.

Whether IT Act will consider deposits from my brother as my Income? Should I pay tax for that also. Hiram, As long as you can prove that your brother is repaying the amount which you have given, then there is no need to include that in your Income.

In that case it is just repayment of loan. You should have details regarding when you have transferred that amount to your brother. I am an NRI who never made any IT Return. I have investments in Indian equity shares. In FY and I have long term capital losses and short term capital gains. Can I set off both?

In case I need to file a retun what is the last date I can do so for FY AND However, you can still file the return but cannot carry forward losses. For FYthe due date will be If you have short term loss in FY ,you can carry forward and setoff against short term capital gain in future years. I am an NRI since and have been working in various countries since then and presently in Oman. I have both NRO and NRE joint account with my wife for easy access for my family.

Is this any way taxable in name as both my bank accounts are joint accounts with my wife. Is it advisable to file in near future. Just by having joint accounts, does not make it taxable. If you donot have any income, then you are not required to file the return. Pls note that if you have taken home loan to buy properties, you can claim the tax benefit on interest paid by filing returns. Hi Vivek Jain, Thanks for your article. I came to Saudi Arabia on 29th September 14 for employment.

I joined in saudi arabia office on 29th sep. My date of travel to saudi also same day. If considered as stay in India whether i will be considered as NRI? What is the proof to be submitted to income tax department to show as an NRI?

So For FYyou will be treated as resident in India. You are not required to submit any proof while filing returns. I am working abroad on business visa and once in 3 months depending on visa I travel back to India and get new visa.

I stay outside India for more than days in financial year. My salary is directly credited to my NRE account in India. As the Business visa is for business meeting and not for employment, you need to consider the following clause to determine whether your ar resident or not:. A person is Resident in India 1 if he is in India for more than days during the fiscal, beginning 1 April and ending 31 March.

OR 2 If he is in India for 60 days or more during the year and days or more during the earlier 4 fiscals. If you fulfil both these conditions, you are regarded as a tax resident of India, though you have been in India for less than days http: If your status is Resident, then your Global Income is taxable in India.

You can claim the tax paid overseas while filing return in India so that you donot pay double tax. Dear Mr Vivek, Your blog, articles and responses are very informative and very helpful, its very difficult to get this information anywhere, thank you very much.

I read all of your articles and most of my doubts are cleared. I am an NRI since 8 yrs, I have NRE and NRO accounts for the past 5 years I converted resident account to NRO account after 3 yrs of becoming NRE as I was not aware of rules. Now for the past 5 years TDS is deducted from my NRO account, its very minimal not taxable. But I never filed IT returns to claim refund as it is very less.

I dont have an Indian mobile number, what should I do? Is there any way to change it to overseas number? Is there any way that NRIs can register for IT returns with overseas number?

Hi Narendra, You are right, for online efiling registration, Indian mole number is compulsory for activation. Sir, CurrentlyI m working in Saudi Arabia since 2 years, and frequently transferring my salary amount into my brother Indian Saving account! As these amount are not treated as Income for him. But any interest earned on these amount, will be taxable for your brother. If so, how much of it is taxable?

I have received a letter from Income Tax dept that i have not filed Tax returns from tobut, i have only income from interest, which i TDS taken by banks, but, i do not have amounts of TDS, how would file Brownian motion forex You can check make money selling other people's products TDS amount by checking your Form 26AS.

Now I sold this house and invested capital gain amount in buying a new house. Do I need to file tax return. Yes, you need to calculate the capital gain tax and file the return. I contacted a CA in India who says i can file taxes in India for last two years and claim refund of some of the default TDS applied. He wants IRS tax filing confirmation number for last year. Can you tell me if this is same as US Social Security number or is it different.

Make money hauling with a pickup am hesitant to give my SSN number and currently do not have access to tax documents on vacation.

Hi Jay, the IRS tax filing number is not same as your SSN. You can online file you tax return in India and claim the default TDS deducted. Following posts will be useful to you http: I am a retired 76 years old women from Central Government. I spent More stockbroker fraud lawyer 6 months with my son in UK.

What are the consequences as per Income Tax Act in India. Shall I file the return? Shall I pay the Tax? Is there any exemption from tax as an NRI? Hello sir, CurrentlyI m working in Saudi Arabia since 4 years, and frequently transferring my salary amount into my Indian Saving account!

Is am i eligible under criteria of tax filing act. If you have no making money forex market in India or below threshold taxable limit, then you need not require to file tax return in India.

Thank you for your posts. I do not see the bank customer service really helpful to explain many of the questions. As bank has no means to find out, they also donot take how to get free psn card codes no surveys 2016 action.

If the balance is low, the chances of having any problem is very remote. If you break before 1 year you will loose interest. If you go back to India, you need to tell the bank within 6 months. So essentially you can keep NRE FD for next 6 momths. Again, it is your responsibility to tell the bank. I am in KSA with family as NRI since Arbitrage in binary options magnetic have given my house on rent just 6 months before.

The house is on joint name with wife having my name as first. Its rent is being deposited in joint saving account having my wife name as first. The total rented income is less than 1 Lac. I am transferring NRI income in NRE account and having NRE FD over there. You donot need to file the return in India if your income is below taxable limit. For the rent income, either you or your wife or both can show the income as property is in joint name 3. You donot need to show the foreign income if you are non-resident.

Thanks for quick answer. Further clarification to item 2As I do not need to file IT Return per your answer 1Is it mandatory to file return considering your response to Item 2. THanks for your highly informative blog. Have got a query.

Have left India on 5 the JUly Came back to India on 25 the October Please see the criteria in the post below: Thanks for your reply. I am again slightly confused. I have travelled outside India to work in a foreign shipping company. Everytime you going out of India, are you getting an overseas employment contract? So you quitting job in India and then joining company overseas?

I am not working in India. Hi Vijay, Do you work on Indian ship or foreign ship. Dear vivek, Working on foreign ship. Indian income tax on income earned abroad the days of travel of leaving India and coming into India have to be counted as days spent in India.

Dear Vivek, I am awaiting your valuable reply for my e-mail sent to you on 22 Jan regarding filing of Income tax return by NRI. I am unable to determine my taxable income. I have Shop Rental income of One Lac per year plus notional income of second self used house. I am unable to calculate notional income as Municipal Rateable Value is not published by Mumbai Municpality. They have discontinued the system of levying Municipal Tax on the basis of Rateable Value. Now they are leving Municipal Tax on the basis of Capital Value published by them.

Secondly I have Long Term Capital Gains from Equity oriented Mutual Funds, Dividend from Shares and Mutual Funds,PPF and Bank Interest. Total amount is as under: Appreciate your reply as soon as possible. Dividend is tax free in the hands of investor.

NRE interest is tax free. If the deemed rental income is not able to calculate, you can choose the amount as best estimate based on current rented properties in that area. I am an NRI since The last IT I filed was when being a resident and done by an external agent through e-filing at IT website. I have an NRE account in India. I have maintained the SB account for auto deductions for insurance premiums daily forex power charts credit of share dividends.

This year I got email notification reminder from IT dept asking to file my returns for only AY to remain compliant. I checked the tax calculation statement generated from my stock broker it shows negative long term capital gains.

What is the best course of action as speculative gains cannot be shown. What is the best course of action. Apart from this if I add up all together the total income dividends inr and bank interests less than I need some guidance regarding this.

I will face the same situation for this year too newtec forex metatrader expert then on I will sort out the matter.

Hi It is better to show your correct Status — Non Resident while filing the returns. Dividends are tax free anyways. I wish to open USD FCNR FD account. Instead of opening one FCNR FD with big amount of money, can I open multiple FCNR FD accounts with smaller deposits? Or is it that a person can have only one FCNR FD account for a given NRE account? I am an NRI from and have not filed returns from then on.

I received email reminder from IT department asking me to file returns for AY Also I have not started an NRO account and have only an NRE and SB account. Can you please guide me how should I declare my returns? The statement from my broker shows business income and negative long term gains and small short term gains.

As an NRI I am not supposed to have speculative income. What is the best course of action in your opinion. As an NRI you can trade in Derivatives but through separate account. Now you are already traded through normal account, nothing much can be done. But for derivative income, it will be classified as Speculative business. First of forex html5 template many thanks to all your time in posting to help many people!

I myself came to the US in to do my Masters and living in the US for around 5. I am working here on H1-B Visa. I am planning to open a NRE account in India. My question is, when I plan to return to India permanently in years, would I need to file tax on my NRE account in India?

How will that be handled? Once you go back to India, you can close your NRE Account and transfer funds to an Indian resident account. Once you convert your NRE To Resident account, any interest earned will be taxable. Interest on NRE account is tax free. Hi Vivek, I have received a notice from compliance management cell. The information code is CIB Contract of Rs. What does this mean? Could you please help. Thanks for your help.

I have received a notice from compliance management cell. However, I did sell shares. Could you please clarify. Dear Vivek, I am Australian citizen having resident and NRO accounts in Indian Banks. I want to sell my property in India. Kindly advise tax implication. Hi Shankar, Once you sell the property, you need to calculate the capital gains after taking indexed cost of acquisition. If in Australia, you need to pay tax on global income and if you need to add the capital gain related to india, then you can claim the tax paid in India while filing returns in Australia.

I am a NRI past 23 years and, I have invested my NRE Funds to some property 1. The 3 house I rented already and getting Each home Rs per month. The rental amount directly Deposit to my NRO acc. My question is Whether I need to file IT returns or not? Pls revert to me? Am an NRI and have a rental income of about Rs. Also, have not sold any shares and therefore do not have short term or long term capital gains and the interest income is about Rs. If your Gross Total Income before any deductions before usual 80C to 80U deductions is more than the exemption limit then you need to file the returns.

Dear Vivek, I am an NRI since I own a flat and a plot of land in India and my wife owns a flat. We wish to trannsfer one flat to our daughter, who is 19 years old. But she is planning to go to US this year to pursue university education. Considering the US tax laws, is it advisable to transfer the flat to our daughter? Kindly advise and oblige. Unfortunately I am not expert in US tax laws. But if you gift the flat to your daughter, there will be no capital gain in India as per section 47 of the Income-tax Act, gift of a capital asset does not constitute a transfer and is hence not subject to capital gain tax.

I am an NRI, working in UK for the last three years and I am living abroad for the last 4 years and a half. My organisation has send me for an assignment in India which will mean living in India for more than days, I will need to get back to UK for good after this assignment. My expenses in terms of travel and hotel are reimbursed at actuals. Do i qualify to be an Indian resident in the given situation for this financial year? If yes, then do i need to file an Income tax return for this financial year?

How can i avoid paying taxes twice? Forex trend indicator - live streaming need to file returns in India.

However, you can claim the tax amount paid in UK so you will not be taxed twice. I wanted to know whether need to pay tax and file Income Tax Return and if yes, what will be the legal procedure? As your income will be above taxable limit, you need to file the return and pay taxes accordingly. You can file the IT Return online.

Dear Vivek, What an excellent and informative blog, appreciate your efforts for providing valuable information for US NRIs Well, I have query here, I have been working abroad since last 22 years and I have an NRE account. I have never known about the IT Returns till last year onwards I started to easy ways to make money fundraising alot about it. I donot have a PAN card too, Becasue, I was in a notion that Being NRI Iam exempted from Taxes and I was a bit Cofused about the PAN card.

Well I donot have any investment in India except a Flat I bought that too on lBank Loan. Hence, My query is, 1. What details Should I furnish in order to apply for a PAN card. Regarding the PAN card I am a bit confused whether, its is required to furnish bank details and complete account details? What will be the consequences? Thats a separate matter. You need to then deposit this amount with the government gainst seller PAN. See more details as follows: You just need to submit the proof of ID address as required in Page 7 of PAN form.

Vivek I was NRI since and came back in August ; decided to be resident to take care of parents. All these year my indian income is NRE FD interest only; as they are not taxable I have not filed any IT return since Having decided to stay backI have repaid most of the loan now. Possibly I will let out in near future. Shall I have to consider interest accrued amount for the total income as there are some FDs which mature next 1 or 2 years.

In this respect can you please advise me what are the tax benefit I can avail and how much? The interest and principal repaid is more then limit for the tax purpose. Hi, As you came back in Auyou will be resident in India for FY for which you need to file return by Any interest earned on Bank account after it is changed from NRE to Resident account, should be treated as Income. How much is the income from FD in this year? Will I be in any trouble now.

Legally have I violated any laws. Hi Mandar, As the transaction is completed, you cannot do anything else now. IT dept are not very strict in case of TDS deduction by Individuals. So you should not worry much. Transferred funds i kept some as nre deposits and some in saving account resident deposit around 30lac. Bank is automatically deduction TDS on my resident deposit. And last year i have constructed the building through nre funds, and for couple of months it was vacant and started letting from this jan onwards i received the rent of 1 lac so far.

I am still in overseas and recently i have become oci. Kindly advise how to fill the income tax this year in my scenario? Please advise anything more to declare, i guess past history no need to declare. You will need to show income for that particular year only e. You will need to submit return in ITR 3 or ITR 4 http: I am an NRI and holding checklist for buyback of shares/securities for listed companies NRO account in India.

I have a flat which is on rent and the rental receipts are deposited in this NRO account. See the post below: I am an NRI and had annual rental income of Rs. I also paid total housing loan interest of Rs. If your total income without chapter VI deductions — 80C is above taxable limit, then you need to file return.

As you will have Loss from House property, it is better to file return and carry forward the loss. I have a typical question which did not find in your previous replies to others.

I am NRI having rental income from one flat in India 1lakh with combined income 2. We both are having separate PAN card and filed return separately prior to becoming NRI. Can u please advise if I need to file IT return for the year My other NRI FD interests are already tax free.

Hi, Whether the property is joint property? If your total income is below Rs trading stocks on ipad. Vivek, You are sorting out many queries from different individual about NRI Tax Clarification. Am also having some issues when we are talking about Tax. I do believe, you can also sort out my issues. And also advise me, what way to use effectively my NRI account in India?

Normally you will get notice, if your have done large transaction or TDS is deducted but you have not filed the returns. It seems that after you transfer money to your Saving account, have you created FD with that amount on which TDS is deducted? In the Income tax compliance notice, normally they give the details of transaction and code as well. Can you please share that.

Note that NRE Account Interest is tax free. So you can transfer from foreign account to NRE Account. In FYI worked in India till 4th Aug, Then I took a break of 3 months no income. Then I joined a company in Singapore not an onshore on 27th Nov, I am getting my salary credited here in Singapore bank account with tax deducted at the source.

What will be my status? I already am paying my taxes here. Can Easy inventions to make money declare the same and avoid double taxation? After you join the company in Singapore, are you based in Singapore now? When did you leave India? You need to declare the Income while filing the returns in India, calculate the tax and then deduction of taxes paid in Singapore.

Yes, I am based in Singapore now. I left India on 26th Nov, and I will be staying in Singapore for long. In ref to point 2, do I need to declare both India income and Singapore income at the same place by adding them up or separately?

And under which section this deduction on taxes paid in Singapore will come? Can I transfer one of them to NRE and one to NRO?

Do I need to notify my banks about my current stay now? I have notified only one of the bank. Hi, You need to submit return in ITR 2 and there is separate section for Foreign Income: Schedule FSI Schedule TR Schedule FA. I appreciate you helping out all with your expertise by spending your valuable time on this forum. Is my understanding correct that NRI having income from only 2 sources e. NRE FD interest and NRE STCG is required to use ITR-2 in order to claim the TDS?

Do I need to show NRE FD interest on tax return as it is already exempt from tax? I am an NRII have purchased one flat in april which is still underconstructionno loan on this flat all payment thru NRI saving accountthe possession of this flat i will get in next year december I want to purchase new ready flat now for Rs 2 cr, here I want to know whether I will be liable for TAX on my first flat, exchange rates usd gbp calculator i will get 50lakhs?

When you sell your under construction flat after 3 years, then it will be long term capital gain tax. Make sure that you buy the property before you file the tax return. I kentucky livestock market report a NRI for taxation purpose based on number of days that I am residing abroad for my employement. I need to file ITR for FY Please help me in following queries: Which ITR form should I fill?

Is ITR form selection purely based on source of income? Is it also based on my residential status as NRI? Is there something such as that NRO needs to mandatory fill ITR-2? I had a maturity sum of INR on investment of INR for Jeevan Astha. In which section, Do I si guadagna veramente col forex to show maturity sum as income? Also, what should be amount of income INR or INR ?

See conditions for choosing IT return form http: LIC Jeevan Astha was a single premium product offering fixed returns for 5 or 10 years. The interest from this policy is exempt from taxes. Just mention under Exempt income — INR Thanks Vivek for clarification.

Just curious, which source of income is qualifying me to file ITR2 instread of ITR1? Is it the income from Jeevan astha? See which form you need to file conditions http: Hi Vivek Your details keyboard for stock trading are very good but probably i have a different case and query.

I was an NRI during FY spending around days out of india employed in Oil industry in mid east and returned back in April My salary got credited directly to my SB ac every month. The last two salaries for march paid till march 21 and April paid till april 10 got credited in april and may respetively.

This year i am a resident working in india. Will the salary credited in my ac during this financial year be considered as part of fy or it can be counted on number of days for which it was paid rather than when it was received by me. Could you please let me know who was your employer during our foreign visit. Whether it was Indian Company or UK company? Did you resign at UK company, when you left for abroad? Did you have separate employment contract with the Middle east company.

It was an on-off rotation cycle job 90 days work best buy ps4 stock 30 days leave at home no pay for leave period. Hi Praveen, if you are out of India for more than days, you will be treated as Non residnet and only the Income generated in India should be shown in Income tax forms. Hi Vivek, I am an Nri having british nationality and staying in India since last 2 yrs.

Also i had a property which was bought in for 2 lakh and now it is sold for 21 lakh. It was a property bought by my late father. Also can i invest that money in any type of bonds or fd to avoid tax. Thanks in advance for your help. See the calculation in link below http: You can save capital gain tax by investin in residnetial property or capital gain bonds.

I filed ITR till AY as I had indian income. But I could not file ITR for AY although I am eligible to get a refund of Rs. Kindly advise me how to file the ITR for AY and avail the refund. I am still an NRI and shall visit India only in July You cannot file the return gfor AY as it is time barred now. But there is a new circular, where you can send the application along with the return if the refund is due for last 6 years.

I get interest on those FDs. I need your help here. Is there a something which you can advice to reduce the tax burden to the normal level. Can I transfer money from my NRE account to UK bank account without any problem in future? Can I transfer money from NRE account to indian resident account when required?

Check with your bank. You need to give the funds transfer form to the bank. Can you please provide a solution for the following situation.

A person is been non-resident from He came to India in and was making visits to foreign country on and off during However, his residential status for A. Y is resident. During the period he was non-resident, he made investments in India by way of Mutual funds.

These funds are redeemed in A. Now, does the amount received by way of proceeds from Mutual funds are taxable in the hands of that person for A. Amount received is Rs. I am working abroad for more than 3 years. I used to file my IT returns as long as I was working in IT companies in India. Currently I do not own a property nor do I have any investment. Am I supposed to file my returns? When I come back to India and start my job as a resident, How would I continue to file returns I mean what document I need to use as reference?

I need to have up to date synch with IT department about my status. What do I do? Hi Mirza, If you donot have any taxable income in India, you are not required to file the return. Once you come back to India and earn in India, you can file the return as normal showing that year income.

I am working in Maldives. With one of my friend we are planning to register a partnership firm in India. The sales is in Maldives. But the payment is made from the entity in India. Now the doubt is whether the income generated in Maldives and deposited in India is taxable? Any profit made by Indian activity, Purchasing in India and then sending to Maldives at different pricewill be taxable in India.

Which ITR form I should fill. Bank is deducting TDS on NRO FD accounts and issuing Form 16A, for that I am filing ITR return. What about interest earned on NRE FD? Is it also be shown as income exempted in IT Return?

So interest earned is taxable in USA?. If so then what are the ways of investment in India to avoid tax in INDIA as well as USA. However, if the country has DTAA agreement, any tax paid in other country can be claimed in US.

However, in case of NRE FDthere is no tax to be paid in India as this is tax freeit needs to be declared in US and taxes need to be paid in US. Now I am planning to sell the same for a bit higher value. And I need to invest all the money received from the sale as FD. Could you please recommend me the best way to invest this proceeds of sale in Fixed Deposits NRE or NRO to avoid any sort of Tax. For sale of plot,if you sell before 3 years, it will be treated as Short term capital gain and will be taxed accordingly.

If you sell after 3 years, it will be long term capital gain and you can invest the amount in selected instruments to claim tax benefit. Do you have Fixed deposit which is maturing? Where do you have this FD? Thanks for the reply. It is a plot agricultural land for 8 Lac.

Actually I mentioned that If I sell this plot and can the amount from this sale be invested into NRE or NRO FD. In case of agricultural land, there is no capital gain from sale of such land. The amount can be credited in your NRO account. Fro there you can always transfer funds from NRO to NRE after filing certain bank forms. Sir I worked 10 years abroad and resigned my job in june31 and comeback to india. My total income 30lacs. Did you taxes there on this income?

It is your capital amount. You can be an RNOR for 3 years. For Indian income tax purposes, an RNOR is treated at par with NRIs. That means, an RNOR needs to pay tax in India only on his Indian income. Any income from abroad will not be taxed in India.

Vivek Jain, My query is, do I as an NRI need to file tax returns of income from sale of listed company shares on NSE. Tax on the short term capital gains I had very, very small amount is already taken by my bank as TDS.

So if I do not wish about to claim this very small TDS back, can I forget about filing tax returns. As you have income chargeable to tax, it is better to file the returns. You can submit the return online.

I married a US citizen and got a green card 5 years ago and moved out of India. I earn rental income in India and that is below the taxable range. My dad has been filing taxes for me using my previous pan card which I acquired before becoming an nri and showing me as an Indian resident. I plan on changing my accounts to NRO and inform the IT department of my nri status soon.

After I convert my accounts to NRO and start filing taxes as NRI, will my rental income in India be taxed in India or will it be taxed in the United States considering it as overseas earned income?

I acquired the property on which I earn rental income before I became a non resident.

Fema Online :: NRI -- TAX FREE INCOME FOR NRIs UNDER I.T. ACT.

Please help me with the info. Appreciate for your time. Normally Bank will not question even if you are doing after long time. However, you need to show this income in your US tax returns as well and pay taxes there. I am an nri and sold my mutual funds thereby having long term capital gain of Rs 10 lakhs.

I do not have any other taxable income in India. Do I need to file IT return. Highly appreciate your blog. Dear VivekThank you so much for the reply and highly appreciate your blog.

I have arrived on hrs and have ticket to prove the same. Hope there will be no issues. The logs of your blog is very useful and quite informative. I have a question when I was residentI opened the HUF account and had some income and investments in that account.

Now I am working abroad and a OCI card holder. So can I still continue with the HUF account or do I need to dissolve it. In case if I continue can OCI karta can give gift or loan to his HUF account?

Also, I have some FCNR FD accounts. Till now I did not enter these details in Balance sheet as I thought that the Interest earned on FCNR FDs is tax free. What are your views? If yes, in which column of the Income Tax return because I could not locate it to enter in Foreign currency?

Also, does the exchange rate applied for the conversion to be shown in Balance sheet should be of 31st March of the filing year? I have rental income for 8 months in the Financial Year to be split between me and my wife as both are Co-owners of the flat. Dear Vivek, I am an NRI based in Singapore. I dont have any income in India except for rent from a property of about INR 28, per month. Are we liable to pay tax in India since by sharing the rent income it is below the minimum limit for both of us.

As the income is below taxable limit, you are not liable to submit return. However please check if any TDS is deducted by Bank in your NRO account, then you need to file the return and claim that TDS.

Hi Vikas, I am currently addressing the queries from start of June and normally messages are automatically approved when replied. However many public sector bansk are reluctant to open it. Private banks are more helpful in such cases.

You can use 31st March conversion rate. Hi, I work in oil field on ON-OFF pattern. Till last financial year I was working full time in India. My questions are —. But I already have investment in stocks which I plan to leave as it is, i. Is that possible or do I have to convert my present holding to PIS? Even if you dono bring the money back in india in that year, you are still liable as the money is earned in that year. I was in india for 5 months in then came to US.

I satisfy the previous days clause in india. Shall I file as NRI or RES. And only india income right? Please let me know the departure date from India. Whether you went for the purpose of employment? If I understand it correct then I will have to show as NRI and show India income only. I have to claim refund for TDS deducted. Hi Yogesh, As you were out of India for or more and left India for employment, you will be treated as Non resident in India. You will have to show Indian Income only.

Hi Vivek, I m Woking offshore and I am also pensioner. Iam holding nre account. For financial year I have filed e-return. I received a notice from IT dept 1 intimation to pay income tax. My status on that form is non resident. How do I rectify this. What have you shown in your return as Income?

Do you need to pay tax in India for salary recieved abroad? - nibexyxuro.web.fc2.com

Can you please give more details about the demand or intimation. I was working in Germany from Sept. During my stay in Germany I had paid taxes in Germany.

Is my income under NRI account taxable in India during the period I had stayed in India? My wife has constantly stayed in Germany since Sept. Should I get the NRI account transferred in her name now? I am also planning to rent my house in India when I am leaving in Mar. Income in NRE account is not taxable. When you were back in India in Decyou should have informed bank to convert in Resident account.

Ideally, the tax liability will only be on Interest earned on the balance amount if interest is more than Rs as upto 10K deduction is allowed under 80TTA.

You cannot just transfer your NRE Account into her name. Note NRO account is different from NRE Account — see the difference in the link below. I am in US since last 5 years and have been sending money from here to my regular resident account. Now I got a letter from IRS department asking me to explain all the money that has been coming to my account and withdrawals from my account installments for a property I bought in India. The interest earned every year is not taxable and I can show receipts of the money I am giving for my house.

Hi Nitish, For which bank acount IRS have asked details — is it US account or India Account? I WANT TO KNOW I NEED TO PAY ANY TAX IN INDIA FOR THE AMOUNT EARNED IN UAE FOR DEC TO Hi Raghavendra, You need to check if you are resident or non resident for that year.

If you are resident for that year, then you need to show your global income including income in UAE and pay tax in India. I am an Indian student pursuing Ph. I left India for the US in August I receive a stipend here that covers my education and living expenses.

I would like to know the following:. Am I a resident or non-resident for filing tax returns in India? This is the first time that I have travelled out of India to any country. If you are out of India for more than days, then you are non -resident in India.

You are not required to file returns in India if you have no income in India. Hi sir, I am an NRI last 10years based on muscat. I have 2 quarry 1. I have resident account FD with yearly interest less than 2 lakh and NRE FD more than 2lakh,and i have no other income in india,should i require to submit income tax return file in India?

If your resident FD interest is less than Rs 2 lakhs, you are not required to file return as your Income in India is below tax slab. But please check if the bank have deducted any TDS on such FD interest. If yes, they you should file the return and claim the TDS refund. If you have NRE FD that will be matured after you are returning to India permanently, then you need to tell yoru Bank. Your bank will convert the NRE FD into normal FD and interest will be taxable going forward.

India - Income Tax | KPMG | GLOBAL

I sold shares from my NRI account and made profit of around 1 lakh STCGon which capital gain tax was deducted. Please let me know whether complete 1 lakh profit is taxable or only INR. Can i file return to get the refund, if only is taxable? Hi Pankaj, Whether all there transactions happened in same financial year. If yes, then you can adjust the loss against gain.

You can file the returns and claim the additional tax paid. I have got a Notice for non filing of income and ther are 5 clauses cib, cib, stt01,stt02,A for FY I have to answer them thru online compliance module. I can answer all but the CIB which is contract above 10lakhs in a commodities ecchange as I dont have any account niether I trade in commodities.

Please let me know what option to choose under the related information summary regarding CIB Hi Peeyush, do you have trading account through which you have traded in futures and options in gold etc??

My friend is working in Saudi Arabia. His Income is Tax Free. He has to file Income tax return. Your email address will not be published.

Wednesday21 June Home Privacy Policy. Should NRI file Income Tax returns in India? The author is a Chartered Accountant and loves to write about Personal Finance, Wealth Management, Taxation etc. Disclaimer - The articles on this website is for informational and knowledge purposes and should not be treated as financial advice, Please consult your financial advisor before taking any investment decision.

Bank FD — Facts you must know before you invest. FIIs raise holdings in mid-cap companies in March quarter. Hi Vivek, thanks for the blog. My current status is Residant Indian RIi need to travel overseas for work purpose 2 When i am in India my NRE account status shall change to Residant Indian as per Bank and rules of RBI 3 Assuming above is true what happens to my investment in NRE account Fixed depositswill they be taxable?

Vivek Jain May 30, at Freelancer July 17, at Hi Vivek Just needed a clarification: Vivek Jain July 18, at 2: For residnets, you need not file return if below exemption limt of rs 2 alkhs. Prashant July 25, at 1: Would Appreciate your quick response. Thanks you very much!! Vivek Jain July 25, at Prashant July 27, at 5: Hi Vivek, Many Thanks for your response!!

Can you please answer my following queries as well. Dear Sir, I am a NRI and I do not have taxable income in India more than Rs 2 lakhs but I have three houses in my name two in Bangalore city, one in Tamilnadu. Vivek Jain July 27, at 8: Hi Rabindran, Even if the houses are not let out, it will be deemed to be let out 2 houses. However, you can claim following deductions: Actual interest paid without any limit. SANTHOSH July 30, at 1: Hi Vivek, I am a NRI from last 3 years, i dont have any nri r nre account in india, i do have 2 savings account in 2 banks, i used to transfer around 30 to 40 thousand to banks monthly, if this money is taxable?

Vivek Jain July 30, at 2: Hi Santhosh, the money which you transfer is not taxable. Also, if yuou have moved abroad for long duration, you should open an NRE Account. Dear Sir, From last four years, I am working outside India and not having any source of Income in India.

Vivek Jain July 31, at 9: NRI aTTerra July 31, at 5: I am NRI, resident in Europe where there is a DTAA treaty in force between my country and India. For the assessment year I have filed my income tax return in India. Rishav Rajoria July 31, at 7: Hi Vivek, I am working abroad since May Hi Rishav, if your interest income is less than Rs 2 lakh, you are not required to file returns in India. Mayur July 31, at 6: Hi Vivek, I am presently a NRI.

My queries are as: Vivek Jain August 1, at Pankaj August 7, at 2: Dear Vivek Thanks for your valuable inputs. Vivek Jain August 7, at 8: Hi Pankaj, There may be a possibility that TDS is deducted by bank on your NRO Interest.

How is your experience with them? K Aswatha Reddy August 15, at Vivek Jain August 15, at 1: HIRAK MUKHERJEE September 11, at 2: Vivek Jain September 12, at During my posting at Bangkok, my salary was credited to my bank account in india. Vivek Jain September 17, at 7: Jain, I am little confused with some contradictor statment on intererest earned on NRE FD deposited. Vivek Jain September 21, at 9: Hi Alok, Any Interest on NRE FD is free from Tax.

Vivek Jain September 23, at 8: Vivek Jain September 29, at Senthil October 2, at 7: Hi Vivek, I have moved to Australia in March but have not converted my resident saving accounts to NRO accounts. Vivek Jain October 2, at 8: Hi Senthil, Normally IT dept donot cross verify the bank account status.

Senthil October 3, at 3: Thank you very much Vivek. Vivek Jain October 3, at 7: I do not think that it will be any violation if you convert your normal saving account to NRO. Vivek Jain October 9, at Hi Kuljit, How much is the pension amount per month? ANJANA GUTGUTIA October 8, at 6: Vivek Jain October 31, at 9: The sale amount will be credited in your Indian account. After than you can transfer funds to foreign account by submitting some forms to the bank.

Max October 21, at 2: Navneet Singh Deol October 24, at 6: Srikrishnan October 25, at 6: Vivek, I have read your blogs and appreciate your service. Will there be any issues. Would appreciate your reply. Vivek Jain October 27, at Manas October 28, at 4: Dear Sir, i shifted my self to saudi arabia, and i have an india resident account in HDFC, i opended one NRI account in ICICI bank.

Vivek Jain November 1, at 5: Also, how much amount is transferred. If this is big amounts, then there can be an issue. Dear Vivek, Thanks for the reply, amounts are in bits and pieces, 6 friends came to client place i am giving them local currency for their expenses and taking INR and they are depositing in my account directly. Vivek Jain November 2, at 1: Hi Sandeep, Getting that amount once should not raise issues. Vivek Jain November 6, at Hi Surya, NRE FD are tax free but these are open to Non residnets only.

Vivek Jain December 3, at 1: Priyank November 7, at 8: Vivek Jain November 18, at 5: Rahul Sinha November 12, at 1: Hello Sir, I have been staying in Germany on long term deputation since last year Sept, Vivek Jain January 2, at 9: You may take help of your Local CA to get the calculation.

Ram November 16, at Vivek Jain November 18, at 4: Dear Sir I am an NRI who never made any IT Return. Vivek Jain December 30, at 3: Rajendran November 24, at 8: Vivek Jain November 28, at Hi Rajendran, Just by having joint accounts, does not make it taxable. You mentioned you have other properties, but does that not giving any income?