Can NRI hold land in India? What is the taxation?
Though RBI has given general permission to the NRIs to purchase immovable properties in India, the permission does not grant power to acquire any and every property in India. The NRIs are allowed to purchase only residential or commercial property. So NRIs cannot purchase any agricultural land or plantation property.
NRI or not, every individual must file a tax return if their income exceeds Rs 2,50,000. But note that NRIs are only taxed for income earned/collected in India.
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NRI can purchase immovable properties in India. But they can only purchase commercial or residential properties and there’s no limit on no. of properties they can acquire.
Tax benefits related to the purchase of property are same as that of a resident Indian. NRI have to pay withholding TDS at 1% rate if property worth is more than Rs. 50 Lakhs.