NRIs have tax obligations in India that depend on their residential status and the nature of their income. An NRI is considered a resident for tax purposes if they stay in India for 182 days or more during the financial year, or 60 days or more during the financial year and 365 days or more during the preceding four financial years. NRIs are generally taxed on income earned or received in India, but income earned outside India is generally not taxable. To avoid double taxation, India has signed DTAAs with other countries. NRIs may need to file an income tax return in India if their taxable income exceeds the minimum threshold. They are also required to report foreign assets if the total value exceeds certain thresholds.

1. NRI tax obligation

2. what are the NRI tax obligations
As an NRI (Non-Resident Indian), your tax obligations depend
on various factors, including your residential status and the
nature of your income. Here are some key tax obligations for
NRIs:
1.Residential Status: NRIs are categorized as either
"Resident" or "Non-Resident" for tax purposes. Your
residential status is determined based on the number of days
you spend in India during a financial year. If you stay in India
for 182 days or more during the financial year, or 60 days or
more during the financial year and 365 days or more during
the preceding four financial years, you are considered a
resident for tax purposes.
2.Taxable Income: NRIs are generally taxed on income
earned or received in India. This includes income from
salaries, rental income, capital gains from the sale of assets in
India, and any other income generated within India. However,
income earned outside India is generally not taxable in India
for NRIs.
3.Double Taxation Avoidance: NRIs may be subject to tax
obligations in both India and their country of residence. To
avoid double taxation, India has signed Double Taxation
Avoidance Agreements (DTAA) with several countries. These
agreements provide relief by allowing you to claim tax credits
or exemptions based on the provisions of the specific DTAA.
4.Tax Filing: If your taxable income in India exceeds the
minimum threshold, you are required to file an income tax
return in India. NRIs need to file their tax returns using Form
ITR-2 or ITR-3, depending on the nature and sources of
income.
5.Reporting Foreign Assets: NRIs are required to report their
foreign assets if the total value exceeds certain thresholds.
This includes bank accounts, properties, investments, and
other financial assets held outside India. Reporting is done
through the Foreign Asset Schedule (FAS) in the income tax
return.
It is important to note that tax laws and regulations can
change, and it is advisable to consult a tax professional or
seek advice from a qualified accountant to ensure compliance