NRI & International Taxation

Residential status is the starting point for every NRI tax review. We examine the number of days spent in India, travel history, citizenship/PIO status, Indian income threshold, RNOR eligibility and the separate FEMA residential-status position. Under Section 6 of the Income-tax Act, 1961 and Section 6 of the Income-tax Act, 2025, residential status determines whether the person is taxable only on Indian-source income or on a wider income base. For returning NRIs, we also review RNOR transition planning, foreign income exposure, overseas assets, bank accounts and the timing of return to India. FEMA residential status is analysed separately because it affects bank accounts, investment routes and repatriation. This helps clients avoid wrong return filing, incorrect disclosure and avoidable scrutiny issues.

We assist NRIs in filing Indian income-tax returns for income such as rent from Indian property, capital gains on sale of Indian assets, NRO interest, dividend income, professional income, pension, salary for services rendered in India and other Indian-source income. For NRI property owners, we also review rental income, municipal tax, standard deduction, tenant TDS obligations where applicable and related compliance documents. The return is prepared after reconciling Form 26AS, AIS/TIS, bank statements, rent details, sale documents, TDS certificates and DTAA documents such as TRC and Form 10F. Where foreign tax has been paid on the same income, we assist in reviewing foreign tax credit eligibility and Form 67 support. Where excess TDS has been deducted, especially in property sale or bank-interest cases, we assist in claiming refund through proper return filing and supporting disclosure.

We advise NRIs on FEMA-compliant investment and repatriation routes, including NRE/NRO account usage, investment in Indian securities, fixed deposits, residential/commercial property, inheritance proceeds and transfer of funds abroad. Repatriation from NRO accounts generally requires proper tax documentation, Form A2 and bank-level supporting records. We assist in preparing the documentation trail for authorised dealer banks so that remittances are processed smoothly and unnecessary objections are avoided. Where past FEMA reporting, remittance, investment or bank documentation has been missed, we also guide on regularisation, compounding approach and corrective documentation in coordination with the authorised dealer bank. For transactions outside the automatic route, we advise on approval requirements and compliance safeguards.

For outward foreign remittances, we review the nature of payment, invoice/agreement, recipient details, country of residence, TRC, Form 10F, DTAA article, TDS requirement and FEMA/bank documentation. Under the old framework, Form 15CA and Form 15CB are linked with Section 195 of the Income-tax Act, 1961 and Rule 37BB of the Income-tax Rules, 1962. Under the Income-tax Act, 2025 and Income-tax Rules, 2026 framework, the corresponding forms are Form 145 and Form 146, linked with Section 393 of the Income-tax Act, 2025 and Rule 220 of the Income-tax Rules, 2026. We assist in preparing the CA certificate/declaration so that the remittance is tax-compliant and bank-ready.

We analyse the applicable Double Taxation Avoidance Agreement for cross-border income such as salary, business profits, royalties, fees for technical services, interest, dividends, pension and capital gains. The review includes treaty eligibility, beneficial-rate comparison, PE exposure, TRC/Form 10F requirement, PAN implications, foreign tax credit and return-disclosure support. Where tax has been paid outside India on income also reported in India, we assist in reviewing foreign tax credit eligibility, documentation and Form 67 support. Correct treaty documentation helps reduce excess withholding, prevent double taxation and support refund claims where higher TDS has already been deducted.

NRI banking requires correct classification and documentation. We advise on the use of NRO, NRE and FCNR accounts, taxability of interest, DTAA documentation for lower withholding, transfer of funds between accounts and repatriation of eligible balances. We also assist with practical documentation support such as PAN, Aadhaar-linking issues where applicable, bank KYC, change of residential status with bank, NRI account conversion, remittance paperwork and tax documents required by authorised dealer banks. NRO income is generally taxable in India and may be subject to TDS, while NRE/FCNR treatment depends on residential and account conditions. We help clients organise banking, tax and remittance documentation so that funds can be managed and repatriated in a compliant manner.

Sale of Indian property by an NRI often results in high TDS deduction unless planning is done before execution. We compute capital gains, holding period, indexed cost, exemption options, DTAA position, buyer TDS responsibility and sale-documentation requirements. We guide both the NRI seller and, where required, the buyer/accountant on correct TDS treatment, payment challan, return reporting and documentation. Where the actual tax liability is lower than the TDS otherwise deductible, we assist in applying for a lower/nil deduction certificate under Section 197 of the Income-tax Act, 1961 / Section 395 of the Income-tax Act, 2025, as applicable. We also assist in post-sale return filing, refund claim and repatriation documentation for sale proceeds.

We advise NRIs on tax and FEMA aspects of inherited property, family gifts, sale of inherited assets, rental income, capital gains and repatriation of proceeds. Inheritance itself is generally not taxed as income in India, but subsequent rent and capital gains may be taxable. Gifts from non-relatives or certain property receipts may trigger deemed-income provisions under Section 56(2)(x) of the Income-tax Act, 1961 / Section 92(2)(m) of the Income-tax Act, 2025, subject to prescribed exceptions. We also assist in organising succession documents, sale records, bank documents and remittance paperwork for clean repatriation.

We assist foreign companies and overseas businesses in reviewing Indian tax exposure arising from Indian customers, employees, agents, service contracts, digital presence, royalties, fees for technical services or business operations connected with India. The review includes Permanent Establishment (PE), Significant Economic Presence (SEP), withholding-tax obligations, DTAA protection, invoicing structure, Indian return filing and compliance responsibilities of Indian payers. This helps foreign businesses enter or operate in India with clearer tax-risk visibility.

For Indian subsidiaries of foreign groups and businesses with cross-border related-party transactions, we provide international tax support covering transfer pricing review, Form 3CEB, local-file documentation, management fees, royalty, interest, cost allocation, service charges and intercompany agreements. We also advise on POEM exposure, CbCR requirements, BEPS-related documentation and cross-border withholding positions. The objective is to help clients maintain defensible documentation and avoid disputes in international tax assessments.