IT Returns for NRI in India – Kotak Life

Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak e-Term Plan

Protect Your family’s financial future with Kotak e-Term Plan. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and insurance in one premium. Know more

Kotak e-Invest

Insurance and investment in one plan with Kotak e-Invest. Know more

Kotak Health Shield

Insurance against medical expenses related to heart, brain, liver and Cancer. Know more

Income Tax Filing For NRI in India
  • 1st Oct 2019 |
  • 2,800

If you are a Non-Resident Indian (NRI) and have taxable income from any source in India, the Income Tax Return (ITR) for NRI applies to you. You are considered as an NRI if you have not lived in India for six months of the previous financial year, you were in India during the last financial year but for less than 60 days, or if you have lived in India for less than a year in the last four years.

Taxable income for the NRIs

Different forms of taxable income accrued in India for NRIs:

  • Salary for services provided in India
  • Income from real estate
  • Capital gain earned from selling assets in India
  • Income from the savings bank account and fixed deposit

The other sources of income that are taxable in India for the NRIs include:

1. Income from housing property

If you are an NRI who has regular income from a property in India, the earnings are taxable in the same way in which it is for the Resident Indians. If you have a home loan, you can claim a tax deduction on the interest paid. Under Section 80C of the Indian Income Tax Act, 1961, you can claim tax exemption on principal, registration, and stamp duty- related charges.

2. Income from capital gain

When filing a Non-Resident Indian Income Tax Return, do not forget that any income from capital gain is taxable in India. The earnings made from the sale of any property in India, including shares and securities, are considered as a capital gain. In case of sale of a property, the buyer has to subtract 20% Tax Deducted at Source(TDS) while making the payment if the property is sold two years after purchase. Any long-term capital gain made from equity-oriented investments is taxed at 10%.

3. Special provision related to long-term capital gains

Any long-term capital gain made from selling assets in foreign countries is also taxable in India. However, this income does not come with any tax benefits under Section 80 of the Income Tax Act, 1961. You can reinvest the income in following options to earn tax benefits under Section 115F of the Act:

  • Shares of an Indian company
  • Debentures of a public company in India
  • Deposits with Indian public companies and banks
  • Central government-issued securities
  • National Savings Certificate (NSC) VI and VII issues

Tax deductions and exemptions for NRIs

You can enjoy tax deduction and exemptions on:

  • Life insurance premiums
  • Payments made towards educational institutions for children’s tuition
  • Repayment of principal for home loans
  • Premium paid towards health insurance on behalf of self, dependent children, spouse, and parents
  • Repayment of educational loan taken for the higher education of self, spouse, children, and a legal heir
  • Any donation made towards social causes
  • Deduction up to INR 10,000 on the interest earned from the savings bank account

When you are filing for NRI taxation, remember these taxable incomes and deductions to avoid paying any additional amount.

Invest in Term Insurance Now to Save Tax

Read Here for More Related Articles:

Download Brochure


  • Increasing Life Cover*
  • Guaranteed^ Maturity Benefits
  • Enhanced Protection Through Riders
  • Tax Benefits
  • Dual Benefits: Guaranteed^Maturity + Death benefits

Ref. No. KLI/22-23/E-BB/999


Browse our library of resources

Download Brochure


  • Enhanced Protection Through Riders
  • Life Cover
  • Tax Savings
  • Multiple Premium Payment Terms
  • Guaranteed @ Loyalty Addion
  • Accrued Guaranteed @ Additions

Ref. No. KLI/22-23/E-BB/490


- A Consumer Education Initiative series by Kotak Life

Similar Articles

What are Direct Taxes? How to Avoid being Overtaxed?

Section 80G of the Income Tax Act

What is Tax Deduction at Source (TDS)?

How to Calculate returns on an assured savings plan?

Have You Considered Term Insurance a Part of Your Tax Planning?

Interest Imposed Under Sections 234A, 234B and 234C

Income Tax Exemption for Physically Handicapped Dependent

How to File Income Tax Return without Form 16

How to Get Form 16?

How to View 26AS and Download Form 26AS Online?

How to File Form 16 for Salaried Employees?

5 Popular Tax-Saving Schemes in India

Types of Income Tax Return (ITR) Forms

What is Form 26AS - All You Need To Know

How to Check Income Tax Returns Status Onine?

Tax Benefits of ULIP Plans Available for NRIs

Income Tax Benefits for Doctors

What is Form 16A?

How to File ITR Online

What is Section 80CCC of the Income Tax Act 1961

Tax Saving for Self Employed in India

Income Tax Deduction Under Section 80CCC In India

भारत में महिलाओं के लिए सरकारी योजना

E-Filing of Income Tax Returns in India

ITR 1: Sahaj Form

What is Section 195 of the Income Tax Act? TDS on Non-Residents of India

Difference between Section 80C, 80CCC, 80CCD & 80D

प्रत्यक्ष कर और अप्रत्यक्ष कर में क्या अंतर है?

Income Tax Filing Using Multiple Form 16

How to View 26AS and Download Form 26AS Online

How to Check Income Tax Refund Status Online in India

All about TDS Payment Online & Due Dates

How to Check Income Tax Refund Status Online in India

Why January Is an Important Month for Saving Tax?

What is the Difference between Form 16 and Form 16A?

What is the Percentage of Tax Deducted at Source (TDS)?

9 Income Tax Myths That Could Cost You Money while Filing returns

ITR-6: Guide to filing ITR-6 Form online

Section 80E: Tax Exemption on Interest on Education Loan

Section 80D - Medical and Health Insurance Tax Benefits Under Section 80D

All about TDS on Salary under Section 192 – Kotak Life

How to e-Verify your Income Tax Return

How to save tax for salaried person?

आयकर रिटर्न (आईटीआर) फॉर्म के प्रकार

Section 16 of the Income Tax Act (ITA), 1961

Who Should Invest In Savings Plan

What is Form 16B?

What Investment Options Come with Tax Incentives?

Are Financial Planning and Tax Planning the Same Thing?

TDS Due Dates of FY 2020-21 For Return Filing

Saving Income tax in 2017 - 18

Guide for Tax Calculation on your Salary

Penalty For Late Filing TDS Return

What is a savings plan?

Tax Saving Guide for 2019-20

Tax Benefit of Investing in Term Plan

Financial Planning and Best investment options for Housewives

Why Tax Planning Should Be an All-year Round Activity

What is ITR 5 Form and How to File ITR 5?

A Guide to Life Insurance Policy’s Tax Benefits and Taxability

Income Tax Exemption for Disabled

How to File Income Tax Return - Everything You Need to Know

What is the Difference Direct Tax and Indirect Tax

ITR 2 Form – Complete Guide

52 Weeks Savings Plan: Daily Savings Plans for a Better Tomorrow

What is TDS Exemption Limit?

When Should TDS be Deducted and Who is Liable to Deduct it?

Problems People Face with Tax Returns after a Job Change

Investing Lump Sum Amount

A Comprehensive Guide to Understand the ITR 7 Form

Presumptive Taxation for Business and Profession

Guaranteed Return Plans-Why is it a must for you?

How to Pay Advance Tax Online in India

Income Tax Deductions & Exemptions under Sections 80C, 80D & 80DDB for FY 2021-22 & 2022-23

धारा 80डी आयकर अधिनियम, 1961

What is Tax Evasion and What Are The Penalties For Tax Evasion In India?

What is Section 80C Deduction?

How to Download Form 16?

Tax-Savings Investments and Options in India

What is the Maximum Maturity Benefit in Assured Savings Plans?

How to file Form 16 online?

Income-Tax Liability- The Difference Between Gross Income & Total Income in Calculating Income Tax

Impact of GST on Life Insurance in India

Things to Do After Filing Income Tax Returns

What is HRA (House Rent Allowance) and How is HRA Exemption Calculated?

How to File TDS Return?

Income Tax Deductions for Disabled Person Under Section 80U

Difference Between Guaranteed and Assured Returns

Section 80C Deductions as per Income Tax Act, 1961

Challan 280 - How to Use Challan 280 to Pay Income Tax

How to Save Income Tax with Insurance

Home Investment Plan to Buy Dream Home

A Complete Guide for Filing ITR 3 Form

Tax Saving Tips: Best Ways to Save Income Tax for 2021

Tax Planning and Tax Benefits of Life Insurance

What is Section 80C Deduction Limit?

Sub-sections Under Section 80C of the Income Tax Act, 1961

How to File Form 10E for Tax Relief on Salary Arrears?

Section 44AD of Income Tax Act for AY 2021-22

Investment Proofs You Need Submit To Lower TDS Cut From Your Salary

8 Things to Help You Select a Savings Investment plan

How To Save Tax Better with 80C

Can You Get Term Insurance Without Income Proof?

Budget 2019: Impact on the Common Man in India

Income Tax Deductions Under Section 80C

What are the Different Types of Taxes in India?

What is ITR & How to File Income Tax Return?

Section 10 (10d) of Income Tax Act, 1961 on Payouts of Life Insurance Policy

Understanding Tax Exemptions in ULIP (Old and New)

What is Section 80C - Explained in Detail

Tax Saving Options for Salaried Employees

Insurance and Endowment: Everything You Need to Know!

Pradhan Mantri Suraksha Bima Yojana

Save Income Tax by 31st March: Here Is a Checklist

Tax Saving Options other than Section 80C

Everything You Need to Know About Tax Benefits of National Pension Scheme (NPS)

Union Budget Highlights – 1st February 2022

Tips to plan your savings in 2019

What Is Advance Tax and How Is It Calculated?

What To Do If Your TDS Is Not Deposited With The Government?

What is Salary Protection Insurance and Why You Need It

List of Important Income Tax FAQs

Tax Exemption and Scope of Coverage

What is Section 10D of the Income Tax Act?

Types of Riders in Insurance Policy

Why is Form 16 Important?

What are Deferred Savings Plans?

How to Save Tax on Salary Arrears?

5 Unusual Investments You Didn't Know for Saving Taxes in India

आयकर स्लैब 2021-2022

What is the TDS Rate on Salary?

What is the Last ITR Filing Date and Penalty for Late Filing of ITR?

Tax Deductions You MUST Know

Excess TDS Deduction – Claim TDS Refund

How to e file ITR on Income Tax Government Portal

Financial Benefits and Government Schemes Every Woman in India Should Know

How To Save Tax Using Life Insurance?

Income Tax Slabs and Rates in India for FY 2021-22/AY 2022-23

How Much Money This Budget 2019 Can Help You Save

Should one prefer a guaranteed savings plan over monthly income schemes?

Do Beneficiaries Pay Taxes on Life Insurance?

LTC Cash Voucher Scheme October 2020 – Everything You Need to Know

All You Need to Know About Section 80C

सुकन्या समृद्धि योजना (SSY) के कर लाभ क्या हैं?

What is TDS Refund Process?

How can I get Form 16B from traces?

Top 8 Tax-Saving Methods in India- Budget Planning

Tax Benefits for Startups in India

Tax Structure in India

Tax-Free Income in India

Tax Season Is Coming- Know How to Save Tax

How to File Income Tax Return for First Time Tax Payers

What is TDS Slab?

धारा 80सी आयकर अधिनियम, 1961

Received an Income Tax Notice? Your Guide to Understanding Intimations under Section 143 (1)

इनकम टैक्स रिटर्न कैसे फाइल करें?