r2i forum

sriradh;612881All,

I am planning to buy a home in Seattle and for that I am looking to put atleast about 50k USD in down payment. Unfortunately, until now, I always sent money to India for FDs/investment and hence dont have any USDs.

I also do not want to repatriate INR to US because I am assuming that there will be lot of complications (not sure!?) and so planning to ask 3 or 4 friends to fund me around 10k USD each and I can pay them in INR. Is this allowed?

Are there any other options for me? Thanks for your help.

Thanks,
sriradh

i heard the same question from one of my friend. he said there is Gift kind of paper work we need to do and make sure they never ask you to give back again. experts in this forum can explain about Gift paper work procedure if anybody gives you cash as gift. But how do people take the amount in india and deposit in bank? same gift formula?

i think it's better to keep money in usa when we are in r2i dilemma so that we can use the money in 2 ways, in case if we return to india then we can always wire that amount to india without any hassles, if we settle down in usa and want to buy home then we can use that funds here in usa. But if we transfer to india now and getting back in future is lot of additional paper work.

can anyone tell about Cash gifting to friend process in USA. one of my friend is taking money as gift from his friend (around $10k). what kind of paper work we have to do and what is the max. limit and Taxes. Thanks.

read this
https://turbotax.intuit.com/tax-tools/tax-tips/Tax-Planning-and-Checklists/The-Gift-Tax/INF12036.html

vasu123;624953can anyone tell about Cash gifting to friend process in USA. one of my friend is taking money as gift from his friend (around $10k). what kind of paper work we have to do and what is the max. limit and Taxes. Thanks.

sriradh;612881All,

I am planning to buy a home in Seattle and for that I am looking to put atleast about 50k USD in down payment. Unfortunately, until now, I always sent money to India for FDs/investment and hence dont have any USDs.

I also do not want to repatriate INR to US because I am assuming that there will be lot of complications (not sure!?) and so planning to ask 3 or 4 friends to fund me around 10k USD each and I can pay them in INR. Is this allowed?

Are there any other options for me? Thanks for your help.

Thanks,
sriradh

I really want to buy something in the USA and I have/make up around 100k. There are 2 options am considering:

(A) buy a piece of land for about 150k or so and then consider building a home.

Pros: heard this is much cheaper and I can custom build according to my choice/preference.
Cons:
(1) need to all the process like water, electric, sewage connections and considerable risk involved, heard cities here have too much stringent processes
(2) Wont be able to loan the money for buying the land itself but looks like I can get a loan for actually building the home


(B) Buy a very old home, like 1930s-1950s, demolish and build a new home

Pros:
(1) Can get a bigger plot for the money am investing
(2) I can get a loan
(3) Assuming - it will be cheaper to demolish/rebuild than actually buying a home of that size

Cons:
(1) Is this even possible? Are there any restrictions?

Can someone please throw some light on the above?

sriradh;612881.....I also do not want to repatriate INR to US because I am assuming that there will be lot of complications (not sure!?) and so planning to ask 3 or 4 friends to fund me around 10k USD each and I can pay them in INR. Is this allowed?.....

This is called "HAWALA". This is what the Congi politicians did for last 40 years, and many Industrialists as well.
It is not that complicated to transfer your INR to $s. Just talk to Mr. Dhruva. He recently helped another NRI to convert.

sriradh;612881All,

I am planning to buy a home in Seattle and for that I am looking to put atleast about 50k USD in down payment. Unfortunately, until now, I always sent money to India for FDs/investment and hence dont have any USDs.

I also do not want to repatriate INR to US because I am assuming that there will be lot of complications (not sure!?) and so planning to ask 3 or 4 friends to fund me around 10k USD each and I can pay them in INR. Is this allowed?

Are there any other options for me? Thanks for your help.

Thanks,
sriradh

You have two options:
1. Under the Liberalized Remittance Scheme (LRS), residents of India can repatriate up to $250,000 a year by filling out 2 forms. No other approvals needed. This route could be used if you have friends or family in India who can lend you the money.

Check out this link:
https://www.rbi.org.in/Scripts/FAQView.aspx?Id=66

2. For the money you sent to India that got converted to rupees, your bank in India can give you a Foreign Inward Remittance Certificate (FIRC) that confirms that you had sent in $ to India. There will be one FIRC for each remittance. You will then need to give these FIRCs to a CA who will certify that, after examining the FIRCs, you are allowed to repatriate that amount of $ back from India to US. You can then take the CA's letter to any bank in India who will send the $ to your US account