ITR filing for NRIs - global income, Indian compliance

You are a non-resident if you stayed in India for less than 182 days in the financial year (or less than 120 days if you are an Indian citizen earning over ₹15 lakh in India and were in India for 365+ days over the preceding 4 years). Residency status - not citizenship - determines your tax liability.

Most NRIs with salary, house property, capital gains, or other income file ITR-2. NRIs with business income file ITR-3. Trusts, political parties, or entities claiming specific exemptions file ITR-7.

No. NRIs are taxed only on income that is earned or accrues in India - such as rent, interest on NRO accounts, capital gains on Indian assets, or salary for services rendered in India. Foreign income is not taxable in India for NRIs (RNORs also get this treatment for foreign income).

Interest on an NRE (Non-Resident External) account is fully tax-free in India. Interest on an NRO (Non-Resident Ordinary) account is taxable at slab rates, with TDS typically deducted at 30% unless a lower rate applies under DTAA.

A Double Taxation Avoidance Agreement between India and your country of residence lets you claim credit in one country for tax already paid in the other, or apply a reduced withholding rate on specific income like dividends, interest, or royalties. We check applicability for over 130 DTAA countries.

Schedule FA (Foreign Assets) requires disclosure of foreign bank accounts, investments, and property. It applies only to Residents and RNORs with such assets - not to NRIs, since NRIs are taxed only on Indian income. Getting residency status wrong here is a common and costly mistake.

Form 67 is filed to claim Foreign Tax Credit - relief for tax already paid abroad on income that is also taxable in India. It must be filed on or before the ITR due date to be valid, along with proof of foreign tax payment.

Yes, at a higher rate than for residents - typically 20% (plus surcharge and cess) on long-term capital gains, deducted by the buyer under Section 195. NRIs can apply for a lower/nil TDS certificate from the Income Tax Department before the sale to reduce this upfront deduction.

Yes, most Section 80C deductions (life insurance, ELSS, children's tuition fees) remain available to NRIs. However, some options like the Public Provident Fund (new accounts) and Senior Citizens Savings Scheme are not available to NRIs.

Banks will not process the remittance without these forms for most cross-border transfers above the specified threshold. Form 15CA is a self-declaration; Form 15CB is a CA certificate confirming tax has been paid or is not applicable on the remitted amount.

Filing is not mandatory if total India-sourced income is below the basic exemption limit and no TDS refund is due. However, filing is still recommended to claim any TDS refund, establish a clean tax record, or support visa and loan applications.

The same as for residents: a late fee under Section 234F of up to ₹5,000, plus 1% per month interest under Section 234A on any unpaid tax. Belated returns can be filed up to 31 December of the assessment year.