Renting Properties - NRI

Reserve Bank of India allows letting out / leasing / renting of immovable properties owned by non residents in India. This income will have to be deposited in NRO accounts. However, this income is subject to income tax as per laws in India.

Following are the guidelines published by RBI regarding income from rental properties

  • The rent received can be credited to NRO / NRE account or remitted abroad.
  • Powers can be delegated to the authorized dealers to allow repatriation of current income like rent, dividend, pension, interest etc. of NRI's who do not maintain an NRO account in India based on appropriate certification by a chartered accountant, certifying that the amount proposed to be remitted is eligible for remittance and that applicable taxes have been paid / provided for.