How can NRIs repatriate money from property sold?
Proceeds of the property sale are repatriable and the process is not as tedious as it seems. As NRIs who held a property in India at some or the other point in time decide to dispose off the asset to capitalise on the capital appreciation in such asssets, the topic is worth discussing. In most of the cases or in a general scenario, permission is granted to NRIs for repatriating the funds. However, in certain special cases, when the property is inherited from a person who is residing out of India, the NRI needs to seek special permission for repatriation of the funds from the apex institution, the RBI.
Conditions to be satisfied for repatriation of sale proceeds from property sale
Though the process is simple, it requires compliance with some of the conditions for easy repatriation of funds to the country of residence. Some of such conditions are detailed below :
1. In order to execute the repatriation process, documentary evidence in support of inheritance of the property needs to be produced.
2. Maximum repatriation allowed in a fiscal year as according to the FEMA guidelines is capped at $1 million. For higher amounts above this value NRIs need to seek special permission from the apex institution. Also, a certificate in lieu of the same in Form 15 CB obtained from the Chartered Accountant has to be furnished stating that all income tax dues by the NRI have been paid.
3. Other point that should be taken note of by the NRI is the tax liability on the gains made in his country of residence.
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