Nri and pio

1. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
NRI & PIO
Shelley E.
TRADE MARK DEPARTMENT

2. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
INTRODUCTION
•NRI - A person resident outside India who is
a citizen of India. Non-Resident Indian is an
Indian citizen who stays outside India for an
uncertain duration of stay.
•PIO - A person resident outside India, not
considered a citizen of India. A Person of
Indian Origin (PIO) is usually a person of
Indian origin who is not a citizen of India.

3. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
NRI & PIO Under INCOME
TAX ACT
•The definition of a NRI is significant from the perspective
of FEMA, Investment and Taxation in India. The definition
of NRI under the Income Tax Act is different from that
under FEMA.
•Under Section 115C (e) of the Income Tax Act,
– NRI is defined as ‘An individual being a citizen of India
or a person of India origin (PIO) who is not a resident’.
– A person is deemed to be a PIO if he or either of his
parents or any of his grandparents, was born in
undivided India.

4. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
NRI & PIO FEMA rules and
regulations
•NRI:
–A person resident outside India who is either a
citizen of India or is a person of Indian origin (PIO).’
•A Person of Indian Origin (PIO) is a citizen of any country
other than Bangladesh or Pakistan, if
–a) he at any time held an Indian passport or
b) he or either of his parents or any of his
grandparents was a citizen of India by virtue of the
Constitution of India or the Citizenship Act, 1955 or
c) he is spouse of an Indian citizen or a person
referred to in ‘a’ or ‘b’.

5. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Non Resident Indian (NRI)
•A Non Resident Indian (NRI) is an Indian Citizen, who stays
outside India for an uncertain duration of stay.
•A person is a Non Resident Indian (NRI) for a given financial
year if he / she fulfills any of the following conditions for that
financial year:
–He / she is in India in that year for 182 days or more (This
irrespective of whether the stay is a continuous period of 182
days, or in multiple parts)
–In the 4 years preceding that year, he / she has been in India for a
total of 365 days or more AND has been in India for 60 days or
more in that year. (Again, this irrespective of whether the stay is a
continuous or in multiple parts)
Note: A Hindu Undivided Family (HUF) is considered a Non
Resident in a year if its management is done from outside India
during that year.

6. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Person of Indian Origin (PIO)
A person is called a “Person of Indian Origin” (or PIO) if he / she was
ever a citizen of India, or if he / she has roots in India.
A person is called a “Person of Indian Origin” (or PIO) if:
•He / she is a citizen of any country other than Pakistan /
Bangladesh.
•He / she held an Indian passport at any time OR
- Either of his / her parents or any of his / her grand parents were a
citizen of India OR
•He / she is a spouse of an Indian citizen or a spouse of a person
whose parents / grand parents were a citizen of India

7. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Acquisition of immovable property in
India By NRI and PIO
•Acquisition of immovable property in India by persons
resident outside India (foreign national) is regulated in terms
of section 6 (3) (i) of the Foreign Exchange Management Act
(FEMA), 1999.
•Agricultural/ plantation land - PIOs & OCIs cannot acquire
agricultural land/plantation property/farm house in India by
way of purchase
•Residential/ commercial property –No permission required
for purchasing residential/ commercial property in India by
NRI’s and PIOs.

•There are no restrictions on the number of residential /
commercial properties that can be purchased.
•A foreign national of non-Indian origin cannot be a second
holder to immovable property purchased by NRI / PIO

8. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Transfer of Property by NRI/PIO
Transferring
residential/
commercial
property
NRI PIO
By sale Can sell to person
resident in India;
NRI or PIO
Can sell only to a
person resident in
India
By gift Can gift to person
resident in India;
NRI; or PIO. If
property is being
gifted to a foreign
national of non-
Indian origin, prior
permission of RBI is
required
Can gift to person
resident in India;
NRI; or PIO. If
property is being
gifted to a foreign
national of non-
Indian origin, prior
permission of RBI is
required

9. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Transfer of Property by NRI/PIO
Transferring
agricultural/plantation
/ farm house property
NRI PIO
By sale Can sell only to
person
resident in
India
Can sell only to a
person resident in
India who is a
citizen of India
By gift Can gift only to
person
resident in
India
Can gift only to a
person resident in
India who is a
citizen of India

10. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Mortgage
i.NRI / PIO can mortgage to:
–An authorized dealer / housing finance institution in
India – without the approval of Reserve Bank.
–A party abroad - with prior approval of Reserve
Bank.
•A foreign national of non-Indian origin can mortgage
only with prior approval of Reserve Bank
•A foreign company which has established a Branch
Office or other place of business in accordance with
FERA/FEMA regulations has general permission to
mortgage the property with an authorized dealer in
India

11. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Sale / Purchase by Foreign Embassies/ Sale / Purchase by Foreign Embassies/
Diplomats/Consulate Diplomats/Consulate
•May purchase/sell Immovable Property in India
other than agricultural/plantation/ farm house
property
•They should obtain clearance from Ministry of
External Affairs through inward remittance of
Foreign Exchange.
•The consideration for acquisition of immovable
property in India is paid out of funds remitted
from abroad through the normal banking
channels

12. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
PAYMENT MODE
i.Payment can be made by NRI / PIO out of
–Funds remitted to India through normal banking
channel or
–Funds held in NRE / FCNR / NRO account
maintained in India
•No payment can be made either by traveler's cheque
or by foreign currency notes and also no payment can
be made outside India.

13. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Repatriation of Sale Proceeds
by NRI/PIO
Property acquired as per rules prevalent
•In case the payment is made for acquisition out of foreign
exchange sources through normal Banking Channels/NRE/FCNR
the amount repatriated should not exceed the foreign currency
equivalent paid.
•Capital Gains may be credited to NRO Account from which NRI/
PIO may repatriate the sale proceeds abroad up to US$ 1
million per financial year subject to tax compliance
•In case the payment is made for acquisition out of balances
held in NRO Account out of rupee sources NRI/PIO may
repatriate the sale proceeds abroad up to US$ 1 million per
financial year subject to tax compliance

14. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
Repatriation of Sale Proceeds by
NRI/PIO
•The sale proceeds of immovable property acquired by
way of gift should be credited to NRO account only.
From the balance in the NRO account, NRI/PIO may
remit up to USD one million, per financial year, subject
to the satisfaction of Authorised Dealer and payment
of applicable taxes
•Remittance will be permitted on submission of
certificate of CA in form prescribed by CBDT
•Repatriation in the above cases are also restricted to
not more than two such residential properties.

15. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
OTHER ASPECTS
•NRI/PIO can rent out the property without the
approval of the Reserve Bank. The rent received can be
credited to NRO / NRE account or remitted abroad.
•Powers have been delegated to the Authorised Dealers
to allow repatriation of current income like rent,
dividend, pension, interest, etc. of NRIs/PIO who do not
maintain an NRO account in India based on an
appropriate certification by a Chartered Accountant,
certifying that the amount proposed to be remitted is
eligible for remittance and that applicable taxes have
been paid/provided for.

16. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
MARRIAGE & DIVORCE
Personal Laws apply to Marriage
The law under which the marriage is solemnized,
whether customary or statutory law, then the same law
shall be applicable.
Divorce
In case of matrimonial disputes, the law under which the
marriage was solemnized, shall be applicable.
Custody of Children
No straitjacket formula available under Indian Law.
Best interest of the child is the penultimate deciding
criterion

17. CHENNAI
3rd Floor, ‘Creative Enclave’,
148-150, Luz Church Road,
Mylapore,
Chennai - 600 004.
Tel: +91 - 44 - 2498 4821
BANGALORE
Suite 920, Level 9,
Raheja Towers,
26-27, M G Road,
Bangalore - 560 001.
Tel: +91 - 80 - 6546 2400
COIMBATORE
BB1, Park Avenue,
# 48, Race Course Road,
Coimbatore - 641018.
Tel: +91 - 422 – 6552921
EMAIL
[email protected]
WEBSITE
www.altacit.com
THANK YOU