If you are sending money to your close relative, it won't be taxable. However, if you are sending money to your friend or acquaintance in India and the amount is above Rs. 50,000, then it is taxable. The excess amount above Rs. 50,000 would be treated as income and the receiver of the funds would have to pay income tax on it in India.
I understand that such gifts are exempt under both countries Tax Laws since it is a Gift to a relative - Sibling / Brother
XE is a well-known, trusted money service provider that earns rave reviews from its customers (9.6/10). Although the company doesn't have branch locations like some of its competitors, transfers can be made via XE's website or mobile app and funded with a bank account or credit/debit card.
Business holidays and weekends: Bank holidays tend to delay wire transfers. Different countries have different bank holidays. This, in addition to weekends, can delay the time it takes for a wire transfer. The number of intermediary banks or currency conversions may also influence the speed of a wire transfer. Hence, when you wonder how long does a wire transfer take, consider pre-planning as a part of the response.
One of the largest money transfer services, Ria is a safe, secure choice for sending money to India. Even better, Ria offers several convenient transfer options. For instance, Ria users can send money via its website, mobile app, or in-person at one of its branch locations, which are often conveniently located inside Walmart and 7-Eleven. Additionally, Ria allows users to send money directly to a bank account or for cash pickup at locations throughout India
There are times that they need to confirm the sender's identity before they can process a money transfer. If this is the case, they will send the sender an online web receipt and an email asking them to call. Once they have confirmed the sender's information, the transfer will be completed and the receiver can pick up the money. You may contact Western Union to find out more details about the status of the transfer.
Visit the Western Union website and click the Send Money link. On the scroll down menu, select the recipient's country and the amount of money. Choose the payout option from cash pick up, bank transfer or mobile wallet and then select the transfer payment option. These are credit/debit card, online, or standard bank transfer. Users can also choose an in-store option to be directed to their nearest Western Union agent location.
If the mother makes a registered will and she does not change it then NRI gets the property. Nri can purchase but in the future on the demise of the mother legal heirs can claim an equal share, as per Shariah law your mother cannot execute an entire property through will so better execute a relinquishment deed.
When it comes to bank transfers from the US to India, Remitly, for example, offers some of the fastest transfers available, and with them you can expect money to arrive in your recipient's bank account in just a matter of minutes. For cash pickup transfers, Small World and Remitly are on average the quickest services, with cash also frequently being ready for pickup in India within minutes after payment has been made in the US.
There is no recipient tax on money being transferred from abroad to India when it's being sent to blood relatives. In general, "blood relatives" -- including spouses, children and grandchildren, siblings or in-laws -- don't pay tax on any amount you send.
Yes. As of May 2021, users can send money from the US to India using Google Pay in partnership with Western Union and Wise. To set up a Google Pay transfer, you'll need to make sure that your recipient in India also uses Google Pay and that their bank account is connected via UPI. From there, you'll be able to transfer just like you usually would on Google Pay, with the additional step of clicking through Western Union or Wise.
When sending money with a credit card or a debit card, you can choose to use the card issuer's exchange rate. However, it is impossible to know the exchange rate used at the time of remittance immediately, and the exchange rate used at that time cannot be checked until the bank issues the monthly statement.
Any gift received from a blood 'relative' is exempt from Tax ('relative' in this case is defined as spouse, daughter, brother or sister, spouse's brother or sister, parents and lineal ascendants of individual or his spouse, siblings of parents of individual or his spouse)
Remitly is one of the cheapest and most popular international money transfer services for sending money to India. They offer fee-free transfer options, plus exchange rates that sometimes match the actual mid-market exchange rate. You can choose from four delivery methods: bank transfers, cash pick-up, mobile wallet, or cash delivery. With in-person pick-up locations across India, Remitly is a reliable service for transfers from the US to India. Take a look at our guide to transferring money to India with Remitly here to learn more.
An individual is required to pay Tax Collected at Source (TCS) on an outbound remittance. As per the amendments in the Finance Bill (2020), under the Liberalised Remittance Scheme (LRS), a 5% foreign remittance tax i.e. TCS is applicable (10% in the absence of PAN details) on payments of more than Rs 7 lakh. In case of an education loan repayment, 0.5% TCS (5%, if no PAN details) will be levied on an amount exceeding Rs 7 lakh. An NRI or a foreign company is also subject to a surcharge and education and health cess.
If you earned over $12,950 in 2022, or over $25,900 as a married couple filing jointly, you'll need to file an IRS Form 1040 tax return. If you're self-employed and you earned over $400 dollars you'll also need to file a tax return, and if you're a US person married to a non-US person or vice versa the minimum amount you have to earn before filing Form 1040 is $5.
The cheapest way to send money to India will depend on the amount and frequency of the money transfer, as well as the sender and recipient. For example, if you both have an account with the same bank, one that operates both in India and in the sender's country, then a bank transfer may be the cheapest. If your bank doesn't operate in India, then you may be better off sending money via an MTO, as bank transfers between non-partnered accounts can result in large fees. Why doesnt Indias and Nepals currency rate change 1 dollars for rupees logo
If someone sends money to your bank account as a gift, it's usually their responsibility to ensure the correct tax is paid. However, any money landing in your account in exchange for goods and services then counts as income - so you'll need to fill out a tax return.
If your daughter-in-law remits money from the US to her husband's NRI (Non-Resident Indian) account in India, it would not be considered a gift and would not attract gift tax. However, the money would be subject to foreign exchange regulations in India and any income earned on that money would be subject to income tax in India. It is advisable to consult a tax professional for more information on foreign exchange regulations and compliance with Indian tax laws.
The increase in tax on foreign remittances in India may be an effective measure to get proper tax payments from individuals who file improper returns. According to the Finance Secretary, T V Somanathan, many individuals make high-value foreign remittances to buy property in foreign countries. But, as these transactions are not reflected on their ITRs, the Indian Government cannot tax them appropriately. So, new tax measures have been implemented to curb the same.
The limit of transferring is upto 1 million USD in one financial year. Mainly, you need to submit two documents 15CA and 15 CB.
If my sibling (Indian Citizen) has a property(residential vacant block) in India, possibly worth 3 Crores and wants to gift to me (I am a citizen of another country and also an OCI), would it be better to gift the land or sell the Land and than gift the proceeds ? Question is which is better in terms of Indian Tax liability for me and my sibling. Can the proceeds of this be transferred to an account in an overseas bank ? Appreciate your advise.
Son sent money to mother's account in India From USA, she bought property with that money and gave gift to others , now son asked to give back that property and mother also want to give back but donee refused to give back that gifted property, is it possible to take back that property by son legally
You can initiate transfers at a local Western Union location, online or by telephone. In each instance, there are multiple options for transfer to choose from, each one with its own associated fees. Depending upon the destination and countries of origin, available transfer options include Western Union's Three Day service, Next Day service and Money in Minutes service.
A currency conversion fee of 3% exists in addition to the exchange rate whenever you are converting an amount you received into INR. With the way PayPal functions in India, you must pay the currency conversion fee on a daily basis, when the funds are withdrawn to your account.
Furthermore, you'll want to select a transparent provider, since hidden fees are the most common way money transfer companies cheat you out of your money. To assess whether there are any hidden fees, be sure to read over the Terms and Conditions before using a money transfer provider for the first time.
Banks generally insist that for such remittances, a certificate from a chartered accountant, and an intimation to the income tax department (both of which are filed online) should also be furnished. These forms are not asked for by banks when the remittance is being made under LRS by a resident.