India has turned into a splendid investment destination for Non Resident Indians and persons of Indian origin. A growing & robust economy, a strong Rupee and profitable companies have together ensured that investors get maximum returns from both equity and debt markets. A highly transparent and automated stock exchange and a resonant mutual fund industry have ensured that investments are liquid and transparent. Taking advantage of this environment and our proven experience in the market.
We offer the entire gamut of financial planning and advisory services to NRIs and also provide additional services such as tax filing in India.
Investment Avenues
The following investment avenues are available for the Non-Resident Indians in India
  • NRIs are permitted to invest in Government securities through primary dealers. 
  • NRIs are permitted to purchase non-convertible debentures of Indian Companies, Fixed Deposits with Public Limited Companies, commercial papers issued by Indian companies, bonds issued by Public Sector Units (PSU's).
  • NRIs are permitted to invest in mutual funds both on repatriable as well as non repatriable basis.  There is no limit for investment in domestic mutual funds.
  • NRIs can make investments in shares and convertible debentures of Indian Companies both on repatriation and non repatriation basis. This is provided the company is not involved in plantation, real estate or agricultural business. NRIs can make investments both in the primary as well as secondary market.
  • General permission is available to a NRI, being an Indian Citizen, to invest in immovable property in India, provided funds are from outside India or through NRE/ FCNR accounts. NRIs / PIOs can freely rent out their immovable properties, without seeking any permission from RBI. 
  • NRIs are now not permitted to invest in bearer securities like Indira Vikas Patra/Kisan Vikas Patra, National Savings Certificates , Public Provident Fund, RBI Bonds, Senior Citizen Savings Scheme 2004. Investment already made, if any, shall persist.
Extent of Tax Liability:
Based on the residential status of a tax payer and the place where the income is earned, the income that is included in the total income is as under:- 

Residential Status: 
All incomes whether earned in India or outside India 

Not Ordinarily Resident:
All incomes:
  • Earned in India, and
  • All incomes earned outside India if the same is derived from a business which is controlled in India or from a profession which is set up in India.
Non Resident:
All incomes earned in India 

Double Taxation Avoidance:
Since a resident is liable to pay tax in India on his 'total world income', it is possible that he may have to pay tax on his foreign income in that country also. To avoid such a situation the Government of India has entered into agreements for avoidance of 'double taxation' with different countries. 
  1. What is the Restrict List/Watch List?
    There is a ceiling on aggregate investment by NRIs/OCBs. When the NRI/OCB holding in any scrip is about to breach the maximum prescribed limit, RBI puts the concerned scrip on the Restrict list/ Watch list. This list is published by the RBI as and when there is any movement into/out of the list. NRIs/OCBs are required to check the list before making any transactions in the scrip. In case, the NRI holding crosses the maximum prescribed limit for any scrip, then the NRI shall immediately have to square off the excess holdings. Any profit on sqauring of this transaction shall not be credited to the NRI. However, loss if any, shall have to be borne by the NRI.

  2. Can a NRI square up trades or funds in the same settlement?
    A NRI can only do delivery-based transactions. He cannot do day trading or square up transactions in the same settlement. Also, he shall have to make bill to bill settlements. He shall not be allowed to adjust any purchase transaction against any sale consideration of the previous settlement.

  3. How do I remit money to India?
    The approved method of sending remittances is through normal banking channels. These are converted by the banks at the market rate of exchange. Money can be sent through cheques, demand drafts or through telegraphic and wire transfer. Wire transfer is the most preferred mode of remittance as it is cost effective, swift and eliminates the risk of any transit loss, possibility of which exists in the case of DD, etc. Most banks also provide for other methods of sending money to India either through net transfer or card transfer.

  4. Is a NRI required to file a Return of Income every year?
    Where a NRI has total taxable income below the exemption limit, he is not required to file a return of Income Tax. Also, where the total assessable income consists of only Investment Income or LTCG and TDS has been deducted from such income, then the NRI is not required to file any Income Tax return.

  5. Can a NRI deposit hard currency in NRE or FCNR account, while in India?
    When in India, a NRI can deposit upto $5,000 per day in hard currency in the bank account. In case of Travellers Cheque, the limit is $10,000. However, in case the NRI has declared the cash at the customs, then he can deposit upto the extent of the amount declared in the customs.
For your NRI Investments, please do contact us.