NRI selling Indian assets? Where you reside matters
When an NRI sells an Indian asset, such as property, shares, mutual funds or gold, they may still face tax implications in their country of residence. This is because the tax rules in that country can apply to the gain, even though it originated in India. For example, if an NRI living in the US sells an Indian asset, they may be subject to US capital gains tax in addition to any Indian tax they have paid.
Similarly, a US tax resident selling an Indian property may have to report the gain in the US as well, as the tax paid in India may not fully offset the US liability. The situation can be even more complex for NRIs living in countries like the UK, Canada, Australia, Singapore or the UAE, where the tax rules may differ significantly from India's.
Therefore, the location of an NRI can be almost as crucial as the asset being sold when considering the overall tax bill.
Written by urgent.news from The Economic Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
