Can NRI sell property in India without going to India?

Asked by: Rosemary Ferry  |  Last update: August 15, 2023
Score: 4.1/5 (26 votes)

If you are a Non-Resident Indian, you can sell the property to a Resident Indian without restrictions. If the buyer is a Non-Resident Indian or a Person of Indian Origin (POI), you may need the approval of the Reserve Bank of India (RBI).

Can NRI sell property without coming to India?

Digital India has indeed made our lives easy and this is one of such examples. An NRI can sell property anytime but he or she will need some documents like: Title of the property (which is in the seller's name) Occupation Certificate from the municipal corporation in India.

What are the rules for NRI selling property in India?

When an NRI sells property, the buyer is liable to deduct TDS @ 20%. In case the property has been sold before 2 years(reduced from the date of purchase) a TDS of 30% shall be applicable.

Can a NRI buy property in India from USA without visiting India?

If an NRI wants to buy a property from the USA without visiting India, he/she needs to appoint a power of attorney member. A power of attorney holder should be trustworthy and reliable to you, as they are responsible to take decisions and sign documents on your behalf in India.

Is property sold in India taxable in USA?

India and the US have a double taxation treaty in place. That means you shouldn't need to pay the same taxes twice when you sell your property in India. However, you'll likely still need to report the sale of your property to the IRS even if no tax is due.

NRIs Selling Property In India - All that you need to know - By D B Mehta

41 related questions found

How I can sell my property in India while I am in USA?

If you are a Non-Resident Indian, you can sell the property to a Resident Indian without restrictions. If the buyer is a Non-Resident Indian or a Person of Indian Origin (POI), you may need the approval of the Reserve Bank of India (RBI). You are not allowed to sell the property to a foreigner.

Can I sell my house in India and bring money to USA?

There's not usually any US tax implication if you're sending money from the sale of a property you own in India to the US. However, depending on the amounts involved you may need to report this transfer using IRS Form 3520.

Can you own property in India as a US citizen?

If you're a US citizen and hold an OCI (Overseas Citizen of India) card, you'll be able to buy most types of property in India even if you're not living there. Key exceptions include agricultural land and properties, and plantations, which can't be bought by non-residents.

Can NRI sell house in India?

In this blog, we would venture into the various aspects of selling a property by an NRI. An NRI can sell his/her residential or commercial property to either a person residing in India, another NRI or a person of Indian origin (PIO).

Can I buy property in India without going to India?

It is prohibited for foreign nationals living outside of India to purchase any property in India. In India, foreign nationals are not allowed to own property unless they fulfil the residency requirement of 182 days per fiscal year.

Do NRI have to pay tax for property sale in India?

An NRI selling a property in India will have to pay tax on capital gains. On long-term capital gains, 20% tax is paid; on short-term capital gains, income tax is levied as per income tax slabs.

Can OCI card holders sell property in India?

Yes. OCI Cardholder is at parity with Non-Resident Indians (NRIs) towards property transactions. As per FEMA, RBI frames the Directions / Regulations concerning the Acquisition and Transfer of immovable property in India.

Do I have to pay tax if I sell my house in India?

But there is something which needs your attention, selling off property is liable for tax payment in India. The tax is paid on the sale of all property types except agricultural land. The property seller has to pay two types of taxes while receiving any income from the sale of immovable property.

Can NRI sell property in India below 50 lakhs?

Moreover, this TDS on purchase of Property from NRI is required to be deducted irrespective of the Transaction Value of the Property. Even if the value of property is less than Rs. 50 Lakhs – this TDS is required to be deducted.

How to avoid capital gains tax when selling a house in India?

To minimise capital gains tax on propery the tax-payer can either reinvest the proceeds in another property sale or invest them in Capital Gains Bond issued by the National Highway Authority of India and the Rural Electrification Corporation.

Can NRI sell property in India through power of attorney?

There is a simpler and straightforward answer to this. By drawing up the Power of Attorney for the non-resident Indians to sell their property in India, one can undoubtedly complete their exchange without in a real sense heading out to India. A power of attorney to sell property in India is not complicated.

Do NRI need Aadhar card to sell property in India?

Aadhar cards are not required for NRIs or PIOs in order to purchase or sell real estate in India, according to rule 114C. But there are some documents you will have to produce to buy a property in India.

Can a foreign citizen sell his property in India?

As per the 1973 Act, any person who is not a citizen of India or any company which is not incorporated in the country is required to get permission from RBI to acquire, hold, transfer or dispose an immovable property in the country.”

Can US citizens have Aadhar card in India?

YES. An NRI (whether minor or adult) with a valid Indian Passport can apply for Aadhaar from any Aadhaar Kendra. If your passport has the name of your spouse, then it can be used as Proof of Address for them.

Can OCI holder live permanently in India?

An OCI card holder does not need a visa to live or work in India. An OCI card holder can stay in India for life time. It is important for an OCI card holder to ensure that they hold valid passports from their home country.

How much money is allowed from USA to India?

There's no limit, however, to how much foreign currency you can bring into India. Although, you will have to declare it if the amount exceeds US$5,000 in notes and coins, or US$10,000 in notes, coins, and traveller's cheques².

Do Indian banks report to IRS?

India FATCA Reporting

The IGA requires Foreign Financial Institutions (FFI) in India to report U.S. account holder information to the IRS, and vice versa. Indian Banks such as ICICI, SBI, HDFC, and Axis routinely issue FATCA letters to customers.

How much money can NRI transfer to India?

As of the financial year 2021-2022, the LRS limit for NRIs is INR 2,50,00,000 per financial year. This limit applies to the total amount of funds transferred by an NRI during the financial year, and includes all transfers made for any purpose, including investments, gifts, and personal expenses.

How to get power of attorney to sell property in India from USA?

You will have to make a power of attorney in favor of a trusted individual who can do the sale on your behalf. To execute a valid POA, the document must be notarized by a local Notary Public, legalized by the relevant Indian Embassy/Consulate, and then registered in India with the local land registration authorities.

Can I sell a house from outside of the US?

Can I Sell My House from Overseas? Yes. You can sell your US home while living in another country. However, selling your home while overseas can present some unique challenges—and complications for your expat tax return.