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Q: Can resident Power Of Attorney holders repatriate funds held in the NRE account out of India?

A: The resident Power of Attorney holders shall not be allowed to repatriate outside India funds held in the NRE account under any circumstances other than to the account holder himself nor to make...

Q: Can proceeds of foreign currency notes/traveler's cheques be credited to NRE accounts?

A: The proceeds of foreign currency notes/traveler's cheques brought by the account holder from abroad during his visit to India can be credited provided they are tendered in person by the account...

Q: What is the status of NRE account on the return of the account holders to India?

A: NRE accounts should be redesignated as resident accounts or the funds held in this account may be transferred to RFC accounts (if the account holder is eligible for maintaining RFC account) at the...

Q: Does the NRE account holder suffer any loss of interest on re-designation of accounts?

A: No, banks have been advised to continue to pay interest at the contracted rate till the maturity of the deposit if the deposit is held for the full term even after conversion into resident rupee...

Q: What are the admissible debits and credits to NRO/NRE accounts?

A: Deposit surplus Rupee cash and Rupee earnings into the NRO SB account. NRE Accounts * Debits are allowed freely, however, debits for investments in shares/securities/commercial paper of...

Q: Which NRI account attract tax deduction at source on interest earned?

A: * NRO Savings and Fixed Deposit Account: Interest earned will attract TDS @ 30% plus 4% Cess (Rate of 31.20%) as per the latest Income Tax Act. The TDS rates are subject to change with the change...

Q: What is the tenure of NRE term deposits?

A: The tenure of NRE term deposits ranges from one to five years

Q: Are the funds in NRE term deposit account taxable?

A: Interest earned on the account will not subject to any tax deductions.

Q: Can the NRE account be held jointly

A: Yes NRE accounts can be held jointly with the another NRI.

Q: How to repatriate money from NRO account?

A: Balances in the account can be repatriated up to USD $1 million per the calendar year for any purpose, subject to payment of taxes. This includes sale proceeds of immovable properties credited to...