OCI r2i for only 2 years. Indian tax question
Posted: Mon Feb 19, 2018 11:42 pm
Hello,
I have an OCI and moved to India after leaving abroad for 17 years in Jan 2017. I will be staying here till Dec. 2018. My dilemma is:
1. I am aware that my NRE FDs that mature in Aug. 2018 need not be converted until maturity but what happens to the interest, will it be taxed in India upon maturity if I continue living here?
2. In the US, I calculate the interest earned every year and pay taxes on it. However in India it is all taxed upon maturity. Will I be double taxed?
3. I continue to have a NRE savings and NRO account in which my salary is deposited. Considering that I am going back do I have to still convert them to resident accounts?
4. If I convert them into resident accounts, can I repatriate the funds when I leave?
5. Is the NRE savings account interest taxed now in India?
6. What are my tax saving options as a OCI in India?
Thanks in advance.
Best Regards,
Jyothi
I have an OCI and moved to India after leaving abroad for 17 years in Jan 2017. I will be staying here till Dec. 2018. My dilemma is:
1. I am aware that my NRE FDs that mature in Aug. 2018 need not be converted until maturity but what happens to the interest, will it be taxed in India upon maturity if I continue living here?
2. In the US, I calculate the interest earned every year and pay taxes on it. However in India it is all taxed upon maturity. Will I be double taxed?
3. I continue to have a NRE savings and NRO account in which my salary is deposited. Considering that I am going back do I have to still convert them to resident accounts?
4. If I convert them into resident accounts, can I repatriate the funds when I leave?
5. Is the NRE savings account interest taxed now in India?
6. What are my tax saving options as a OCI in India?
Thanks in advance.
Best Regards,
Jyothi