How can NRI sell property in India?

If you are a Non-Resident Indian, you can sell the property to a Resident Indian without restrictions. If the buyer is a Non-Resident Indian or a Person of Indian Origin (POI), you may need the approval of the Reserve Bank of India (RBI). You are not allowed to sell the property to a foreigner.

How can NRI avoid TDS on property sale?

Reduce your TDS Liability by filing application in Form 13

To reduce the TDS on Sale of Property by NRI, the NRI is required to file an application in Form 13 with the Income Tax Department for issuance of Certificate for Nil/ Lower Deduction of TDS.

Can NRI sell property in India without PAN card?

Property is an important resource, and for ages, it has been an exceptionally time-consuming and taxing process to sell property in India from overseas. … In order to enter into a property transaction, it is not necessary for an NRI or a PIO (origin being dated up to the fourth generation of ancestry) to have a PAN card.

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Can NRI sell property jointly with resident Indian?

There are no specific guidelines under FEMA for purchase of property by NRI jointly with resident Indians. An NRI is allowed to sell or gift any immovable property to any resident Indian. Any property can be gifted to NRI by an NRI other than agricultural property, plantation or a farmhouse.

Can NRI sell property in India RBI permission?

Any sale or gift of a property by a foreigner without prior permission of the RBI would be illegal, the Supreme Court has ruled.

Can NRI selling property in India with power of attorney?

“A Power of Attorney (POA) plays a significant role in the real estate dealings of the Non-Resident Indians (NRIs). As per the Registration Act, 1908, whenever an NRI sells or purchases a house property, both parties must be present physically while registering the transaction.

Can NRI claim TDS refund on property sale?

If NRIs file Income Tax Returns (ITR) after the financial year has ended in India, they can claim refunds on the deducted TDS. For an NRI to claim a refund on the TDS deducted, he/she must self-compute their income and tax liability according to existing slab rates.

Is Aadhaar mandatory for selling property?

Aadhaar is accepted as a identity proof for property registration and land mutation. However, no provision in the law makes it binding on the buyer to provide his unique identification number for these purposes. … If the verdict goes in favour of the petition, Aadhaar would become mandatory to register property.

What documents are required to sell property in India?

If you are planning to sell a property , the documents are very important . A property with clear documentation and title commands a higher price in the market.

  • These are the documents you need to have in order:
  • Letter of allotment. …
  • Sale deed. …
  • Sanctioned plan. …
  • Society documents. …
  • Encumbrance certificate. …
  • Sale agreement.
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What is required to sell a property in India?

Sale deed is important as it traces the ownership of the property. It is necessary to prove the chain of previous agreements with past owners. Seller also needs to have a copy of the approved building plan and occupation certificate issued by the competent authority.

What is the TDS rate for NRI for sale of property?

When an NRI sells property, the buyer is liable to deduct TDS @ 20%. In case the property has been sold before 2 years(reduced from the date of purchase) a TDS of 30% shall be applicable.

Do NRI pay TDS on property?

If an NRI is selling property in India, the buyer is required to deduct TDS at the rate of 20% in case of long-term capital gains. However, if the property is sold before two years, TDS shall be deducted at the rate of 30% as a short-term capital gains tax.

Can NRI hold property in India?

As an NRI you will not need any special permission to buy an immovable property. … If you hold a foreign passport, you can buy property in India provided you have a PIO (Persons of Indian Origin) card or an OCI (Overseas Citizen of India) card. PAN Card: This is mandatory for property transactions.

Can a NRI buy property in India FEMA?

According to FEMA, an NRI is a citizen of India who is resident outside India. … Exception: An NRI however cannot buy agricultural land, plantation land or a farm house in India. He cannot even acquire such property as a gift. There is however, no bar on inheriting such property.

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Can foreigners sell property in India?

A. 29. Yes, Foreign Embassies / Diplomats / Consulate Generals can purchase and sell any immovable property other than agricultural land / plantation property / farm house in India with prior clearance from the Government of India, Ministry of External Affairs.

Can foreign citizen sell property in India?

If you are a Non-Resident Indian, you can sell the property to a Resident Indian without restrictions. If the buyer is a Non-Resident Indian or a Person of Indian Origin (POI), you may need the approval of the Reserve Bank of India (RBI). You are not allowed to sell the property to a foreigner.