Must File If
India Income > Exemption
Taxable India-source income above the basic exemption limit triggers a mandatory return.
Taxable
Rent · Gains · NRO Interest
India-source income only. NRE/FCNR interest is exempt.
Due Date
31 July (Usually)
For non-audit NRIs, following the April–March financial year.
Do You Need to File? Quick Test
- Is your taxable India income above the basic exemption (~₹2.5 lakh)? → Filing is mandatory.
- Was TDS deducted on your NRO interest or mutual fund redemptions? → You should file to reclaim the excess.
- Did you book capital losses you want to carry forward? → File on time to preserve them.
- Only NRE/FCNR interest and foreign income? → Often no filing needed — but check, because thresholds and TDS change the answer.
When Filing Is Mandatory
An NRI must file an Indian return when taxable income arising in India exceeds the basic exemption limit in a financial year (broadly ₹2.5 lakh under the old regime; the new regime's basic exemption is higher). A critical nuance: NRIs cannot claim the Section 87A rebate that lets resident taxpayers off up to a higher income — so for an NRI, crossing the basic exemption generally means real tax is due and a return must be filed. Filing is also mandatory in specific situations regardless of income, such as claiming a refund or where certain high-value transactions occurred.
What India Income Is Taxable
NRIs are taxed only on India-source income. The usual items:
- Rental income from property located in India (after the standard 30% deduction and municipal taxes).
- Capital gains on Indian shares, mutual funds and property — see our NRI mutual fund taxation guide for the equity/debt rates.
- NRO account and Indian FD interest — fully taxable, with TDS at source.
- Dividends from Indian companies.
- Salary or professional income for services rendered in India.
What's Exempt
- NRE account interest — exempt under Section 10(4)(ii) while you are a non-resident.
- FCNR deposit interest — exempt in India.
- Income earned and received outside India — outside the Indian tax net for an NRI.
Add-On Service · Mintra NRI Tax Desk
The tax side of this is exactly where NRIs lose money to errors and missed deadlines. Mintra works with an in-house Chartered Accountant who has over 15 years of experience handling NRI tax matters — from DTAA claims and TRC/Form 10F to ITR filing, TDS refunds and Form 15CA/15CB repatriation certificates. We offer this as an add-on tax advisory service alongside your investments, so your portfolio and your compliance stay aligned under one roof.
Ask Our NRI Tax CA on WhatsApp
When You're Not Required to File — but Absolutely Should
This is where NRIs most often leave money on the table. Even below the mandatory threshold, filing pays when:
💸
TDS Was Over-Deducted
Banks withhold ~30% on NRO interest; AMCs withhold on every redemption — often above your real liability.
File to compute actual tax and claim the refund into your NRO/NRE account.
📉
You Have Capital Losses
Losses can offset future gains — but only if reported in a timely return.
File on time to carry forward losses for up to 8 years.
🌍
You're Claiming DTAA Relief
Treaty benefits and foreign tax credits flow through your return.
File with TRC/Form 10F to claim treaty rates and avoid double tax.
🧾
You Plan to Repatriate
A clean tax record smooths Form 15CA/15CB and large remittances.
Consistent filing makes repatriation and future loan/visa paperwork easier.
Filing Is Also a Wealth Decision
Reclaimed TDS and harvested losses are returns you keep. We align your investments and your filing so nothing leaks.
SEBI Registered · INA200015583
CFP® Certified
In-house CA · 15+ yrs NRI tax
Book a Free NRI Call on WhatsApp
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How to File, and By When
NRIs typically use ITR-2 (for those with capital gains or more than one house property). The return is filed online on the income tax e-filing portal, and verified via Aadhaar OTP, net-banking, or — for NRIs without those — by sending a signed ITR-V. The due date for non-audit cases is generally 31 July following the financial year. Choosing between the old and new tax regimes changes both your rate and which deductions you can claim, so the regime decision should be run as a calculation, not a guess.
Common NRI Filing Mistakes
- Assuming "TDS was deducted, so I'm done" — and never reclaiming the excess.
- Mistakenly reporting NRE/FCNR interest as taxable (it's exempt).
- Missing the 31 July deadline and losing loss carry-forward.
- Picking the wrong regime and overpaying on deductions they could have claimed.
- Not filing Form 10F before claiming DTAA relief.
Add-On Service · Mintra NRI Tax Desk
The tax side of this is exactly where NRIs lose money to errors and missed deadlines. Mintra works with an in-house Chartered Accountant who has over 15 years of experience handling NRI tax matters — from DTAA claims and TRC/Form 10F to ITR filing, TDS refunds and Form 15CA/15CB repatriation certificates. We offer this as an add-on tax advisory service alongside your investments, so your portfolio and your compliance stay aligned under one roof.
Ask Our NRI Tax CA on WhatsApp
File Right, Reclaim What’s Yours
Our NRI tax CA assesses whether you must file and handles the return end-to-end — as an add-on to your Mintra advisory.
SEBI Registered · INA200015583
CFP® Certified
In-house CA · 15+ yrs NRI tax
Book a Free NRI Call on WhatsApp
Explore NRI Advisory →
Frequently Asked Questions
Do NRIs have to file an income tax return in India?
An NRI must file an Indian income tax return if their total taxable income arising in India exceeds the basic exemption limit in a financial year (broadly ₹2.5 lakh under the old regime; the new regime's basic exemption is higher). Filing is also required, regardless of income level, in certain situations — for example, to claim a refund of TDS, to carry forward capital losses, or where specified high-value transactions occurred. Importantly, NRIs cannot claim the Section 87A rebate available to residents, so the threshold for actually paying tax is effectively the basic exemption.
What income is taxable for an NRI in India?
Only India-source income is taxable for NRIs: rental income from property in India; capital gains on Indian shares, mutual funds and property; interest on NRO accounts and Indian fixed deposits; dividends from Indian companies; and any salary or professional income for services rendered in India. Income earned and received entirely outside India is not taxable in India for an NRI.
Is NRE and FCNR interest taxable in India?
No. Interest on NRE accounts and FCNR deposits is exempt from Indian income tax as long as you qualify as a non-resident under FEMA. NRO account interest, by contrast, is fully taxable in India and has TDS deducted at source. This is one reason NRIs route foreign earnings through NRE/FCNR and keep only India-source income in NRO.
Should an NRI file even if not strictly required?
Very often, yes. The most common reason is to reclaim excess TDS — banks deduct around 30% on NRO interest and AMCs withhold on mutual fund redemptions, frequently more than your actual liability. Filing is how you get that money back. Filing also lets you carry forward capital losses to offset future gains, claim DTAA relief, and create a clean tax record that smooths future repatriation and visa/loan processes.
What is the due date for NRI ITR filing?
For NRIs whose accounts do not require audit, the due date is generally 31 July following the end of the financial year (the financial year runs April–March). Filing after the due date can attract late fees and you may lose the ability to carry forward certain losses, so it is best to file on time. The exact forms (usually ITR-2 for NRIs with capital gains or more than one house property) depend on your income types.
Can an NRI claim deductions like 80C?
NRIs can claim several deductions, but with limits. Under the old regime, certain Section 80C investments (life insurance premiums, ELSS, principal on a home loan) and 80D (health insurance) are available, while some — like PPF account opening, NSC, and certain others — are restricted for NRIs. The new tax regime offers lower slab rates but removes most deductions. Which regime is better depends on your specific income and deductions, which is precisely the calculation our in-house CA runs for NRI clients.
Ankit Choradia
CFP® · SEBI Registered Investment Advisor (INA200015583) · Founder, Mintra FinServ · 13+ Years
Ankit Choradia is a Certified Financial Planner (CFP®) and SEBI Registered Investment Advisor based in Himayathnagar, Hyderabad. He specialises in NRI investment planning and cross-border tax strategy for clients across the USA, UAE, UK, and Singapore. Mintra FinServ is a fee-only, zero-commission advisory practice; complex NRI tax work is handled by an in-house Chartered Accountant with 15+ years of NRI tax experience as an add-on service.