Is it necessary to inform the India IT Dept on such remittances.
If you wish to send money to your mother's resident saving account and open a fixed deposit of 50,000 INR, then the interest earned on this deposit will be taxable. The bank will be deducting TDS at the rate of 20% if there is no PAN number available. But if you open a fixed deposit from funds available in the NRE savings account, you won't have to pay taxes on the interest earned on this deposit.
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.
In a recent decision, PayPal suspended all domestic and incoming international transaction operations for individual accounts in India. While domestic and cross-border PayPal payments remain available for businesses, everyday Indian users face heavy restrictions on how they can use PayPal. Besides no longer being able to make and receive transfers, for example, users aren't able to top up their PayPal balance, making PayPal wallets almost unusable in India, except for online shopping.
However, if the NRI/OCI is transferring funds from his Indian bank account to his own overseas bank account, he is not making any payment to anybody at all. A payment would mean that the remittance is being made to another person. One cannot pay anything to oneself.
PayPal decides its own exchange rate. This might mean that you will pay a marked up rate on international transactions that arrive. The PayPal rate will most likely be different from the mid-market rate. The mid-market rate is the rate that banks use and is also the one seen on Google and Reuters.
If you prefer to transfer money online, Wise is the easiest way to do it. It's incredibly simple to set up an account or make a transfer using their app. They also have the best exchange rates, because they offer the same market rate you see on XE or Google and don't add any hidden exchange rate mark ups.
Reload at home or on the go. We'll send it right away and your loved one will get a text the moment it arrives. Mobile reloads subject to review and may be delayed or stopped if an issue is identified. DT One sells you the Reload according to DT One's applicable Terms & Conditions and Privacy Policy. Xoom transfers the applicable amount of your payment to DT One.
Hi, Thank you first. I am a resident Indian. I want to send about Rs.40L to my employed son in U.S. IF I SEND IT THROUGH A BANK TRANSFER WHAT ARE THE IPMLICATIONS LIKE TCS. CAN THAT BE POSSIBLE TO CLAIM BACK WHILE SUBMITTING RETURN AND HOW MUCH BACK.
If you'd like to send a substantial amount of money from the US to a bank account to an Indian one (i.e. more than US$50,000), then your best bet will be to use a foreign exchange broker. These services are similar to ordinary money transfer and remittance services. The main difference is that they're specialised in large transfers and can negotiate favorable exchange rates on your behalf.
You can pick up your cash in minutes at any one of Western Union's 500,000 agent locations worldwide. If you are receiving funds domestically, you will typically find that on average the funds will arrive within 24 hours. In comparison, international transfers can take between one to five business days to process.
In general, yes. In India, the transfer recipient will be required to pay gift taxes on all amounts greater than 50,000 INR per year unless they're a close relative of yours, in which case they'll pay no taxes. On the American side, a maximum of $14,000 is allowed to be transferred per person per year without having to pay tax. Anything exceeding that amount, and you, as the sender, will be taxed by the IRS.
The increased rate for foreign remittance tax in India can make overseas money transfers more expensive. However, there are a few methods by which you can reduce your overall taxable income. When TCS is applicable for any type of transaction, the money is collected by banks. So, you can adjust your total TCS amount depending on your tax liability.
If you're working abroad, you might need to also pay US social security and Medicare taxes, especially if you're self-employed or you work for a company based on US soil. Expat employees pay a rate of 7.65% in the 2022 tax year, but self-employed workers pay at 15.3%.
My daughter in US is a neighborhood. How much can she gift mother and sister in 2019 from her nro account.
Western Union is predominantly used for their international payment services, as opposed to domestic payments which can be easily executed via low-cost domestic wire transfers. We would recommend this service for anyone who needs to send an international payment to a remote corner of the world, or is sending an uncommon currency, because of vast accessibility of Western Union services.
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As per RBI rules, residents are permitted to hold foreign currency upto 2000$. If foreign currency is within limit and received from relative ,no tax but if such foreign currency received by non relative then upto RS 50000 exempt beyond that taxable in the hand of receiver.
Western Union has different fees for nearly every country it sends to, and we've seen fees range from as low as $3.50 up to $100 or more. These fees depend on how you are paying for the transfer and how the transfer will be collected. Agent location fees aren't typically posted online, but Western Union's online fees are based on: