Selling property in India as an NRI? Plan the TDS before you sign
When a non-resident sells property in India, the buyer must deduct TDS on the full sale price, not just on the gain. For a long-term sale that can be close to 15% of the price, even if your actual tax is much lower. A lower or nil deduction certificate, applied for before the sale, fixes this.
What we handle
Capital gains computation
Cost, improvement, holding period and the actual tax payable on the sale.
Lower or nil TDS certificate
Application to the Income-tax Department so the buyer deducts TDS only on the real tax.
Exemption planning
Reinvestment in a residential house or specified bonds to reduce or eliminate the tax.
Buyer-side compliance
Guidance to the buyer on deducting and depositing TDS and issuing the certificate.
Repatriation
Chartered accountant certificate and bank forms to move the proceeds abroad within RBI limits.
Income-tax return and refund
Filing your return in India and claiming back any excess TDS.
The usual timeline
- Before the dealCompute the gain and plan exemptions. Apply for the lower TDS certificate 30 to 60 days ahead.
- At the saleThe buyer deducts TDS at the certified rate and deposits it.
- After the saleWe prepare the certificate and bank forms for repatriation.
- At year endWe file your Indian return and claim any refund.
Who we work with
- NRIs and OCI cardholders selling inherited or self-acquired property
- Families in India managing a sale for relatives abroad
- Resident buyers purchasing from NRIs
- NRI co-owners in redevelopment projects
NRI property sale FAQs
Why is TDS so high when an NRI sells property?
The buyer must deduct tax on the full sale price at the rate for non-residents, because the buyer does not know your cost. A lower deduction certificate lets TDS match your real tax.
How long does a lower TDS certificate take?
There is no fixed time. In practice it takes a few weeks, so apply 30 to 60 days before the sale. Incomplete computations are the most common reason for delay.
Do I need access to the Indian income-tax portal?
Yes. Many NRIs have lost access to their login or linked mobile number. We help restore access before applying.
How much can I take out of India from the sale?
NRIs can generally repatriate up to USD 1 million a financial year from their NRO account, subject to tax being paid and the required certificate and bank forms.
Can the tax be saved by reinvesting?
Long-term gains can be reduced or exempted by buying a residential house in India or investing in specified bonds within the time limits.