r2i forum

I wire transferred 100K + USD to my mother and brother in India during the middle of last year. It was a gift to them and I did not expect them to pay me back. I sent the USD from my checking account in the US to their savings account in India. However, they want to return the money back now. What is the best way to do this. Can they wire transfer from their account to my account here. Will their bank let them do it.

Also, when I was researching sending the USD to them, I found I had to fill some forms declaring the gift when I file my tax returns for 2014. Now that they are going to give me back the money, what should I do from tax point of view. Should I do any paper work anywhere.

This may sound like not well planned but it is what it is. If anyone can suggest hot to go about, it will be very helpful.

Thanks

I know it is out of context but why they want to give it back. You don't have to answer this, as this is personal.
First hats off to you and then hats off to them. I respect India for such bonding and family values . Otherwise in this modern world who can even think of it.

wicket;590897I wire transferred 100K + USD to my mother and brother in India during the middle of last year. It was a gift to them and I did not expect them to pay me back. I sent the USD from my checking account in the US to their savings account in India. However, they want to return the money back now. What is the best way to do this. Can they wire transfer from their account to my account here. Will their bank let them do it.

Also, when I was researching sending the USD to them, I found I had to fill some forms declaring the gift when I file my tax returns for 2014. Now that they are going to give me back the money, what should I do from tax point of view. Should I do any paper work anywhere.

This may sound like not well planned but it is what it is. If anyone can suggest hot to go about, it will be very helpful.

Thanks

Assuming you have NRO acct.

In that case they can deposit 100K to your NRO acct. You have to get certificate from CA for the source of that money. Keep proper trail of transactions. From NRO to wire to your local bank in US. And you technically you dont pay any tax because it has been already taxed once. You may have to declare that transaction to IRS.

This may help about obtaining certificate... ( just random web site-- I dont know anything about this guy)

Revised Forms 15CB/15CA and Updated Procedures for Outward Remittance of money (including NRO to NRE transfer)

On side note... I have noticed many NRIs (not you) without understanding transferring large sum to India for some lousey FD in bank. Its not worth it. In your case you will lose money for reverse trip. You may not get same 100K.

In addition to what you are asking, your relatives may also need to be prepared, as they will be flagged by FATCA.