Comfort Posted June 30, 2015 Report Posted June 30, 2015 The Differences between NRE and NRO accounts: 1. Repatriation: NRE account is freely repatriable (Principal and interest earned) while the NRO account has restricted repatriability i.e permitted remittance allowed from NRO is up to USD 1 million net of applicable taxes in a financial year after giving undertaking along with a certificate from a chartered accountant. 2. Tax Treatment: NRE account is Tax free (no Income tax, wealth tax and gift tax) in India. On the other hand the interest earned in NRO account and credit balances are subject to respective income tax bracket and are also subject to applicable wealth and gift tax. 3. Deposit of Rupee funds generated in India: If an NRI/PIO/OCI is earning income originating in India (such as salary, rent, dividends etc.) he/she is only allowed to deposit it in NRO account. Deposit of such earnings is not permitted in NRE account. 4. Joint Holding: NRE account can be iointly held with another NRI but not with resident Indian. On the other hand NRO account can be held with NRI as well as resident Indian (close relative) as defined under Section 6 of the Companies Act 1956. Choose NRE accounts if you: (Primary reason) want to park your overseas earnings remitted to India converted to Indian Rupees; want to maintain savings in Rupee but keep them liquid; want to make a joint account with another NRI; want Rupee savings to be freely repatriable Choose NRO account if you: (Primary reason) want to park India based earnings in Rupees in India; want account to deposit income earned in India such as rent, dividends etc; want to open account with resident Indian (close relative)
SA77HI Posted June 30, 2015 Report Posted June 30, 2015 NRE: Nuvvu ikkadi nundi ee account lo money veyocchu, india nundi ee account loki money deposit cheyalem NRO: akkdi nundi ikkadiki veysukovocchu, ikkadi nundi akkadiki veyalevu NRO lo ikkadi nundi veyadam raadu anukunta but indulo tax lu undavu LTT
Aryaa Posted June 30, 2015 Author Report Posted June 30, 2015 NRE account lo dabbul india lo withdraw cheyyocha
megadheera Posted June 30, 2015 Report Posted June 30, 2015 NRE- you can only send and deposit funds from abroad. Indian rupees depost accept cheyaru. There is no tax in India on the interest you earned but you have to pay tax here on the interest you earned in India. The money in this account can be repatriable. NRO - it is savings account in India for NRIs. Since we are NRI, we are not allowed to open regular savings account. That's why they offer NRO account. The deposits should be in Indian rupees only and the interest you earned is taxable in India or USA. If you pay tax in India then no need to pay here. We cannot repatriate the money.
megadheera Posted June 30, 2015 Report Posted June 30, 2015 NRE account lo dabbul india lo withdraw cheyyocha Cheyochu
Aryaa Posted June 30, 2015 Author Report Posted June 30, 2015 Cheyochu Rentilo edi best bro naku NRO undi sbi vadu interest meeda tax estunnadu
SA77HI Posted June 30, 2015 Report Posted June 30, 2015 Rentilo edi best bro naku NRO undi sbi vadu interest meeda tax estunnadu NRO ki veystunnadaa... alaa jaragakoodadheyy
megadheera Posted June 30, 2015 Report Posted June 30, 2015 Rentilo edi best bro naku NRO undi sbi vadu interest meeda tax estunnadu NRE better
Aryaa Posted June 30, 2015 Author Report Posted June 30, 2015 NRO ki veystunnadaa... alaa jaragakoodadheyy G valaga 30% naki dngadu
agora Posted June 30, 2015 Report Posted June 30, 2015 Rentilo edi best bro naku NRO undi sbi vadu interest meeda tax estunnadu nro ki tax estadu interest mida
megadheera Posted June 30, 2015 Report Posted June 30, 2015 NRO ki veystunnadaa... alaa jaragakoodadheyy NRO is just like savings account in India. The interest earned is taxable
DB_Police Posted June 30, 2015 Report Posted June 30, 2015 okati O tho end aindi inkokati E tho, not sure though bro vuu
Aryaa Posted June 30, 2015 Author Report Posted June 30, 2015 okati O tho end aindi inkokati E tho, not sure though bro vuu What I am saying also same
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