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Who is a Non-Resident Indian (NRI)? |
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An NRI is a Person Resident Outside India who is a citizen of India or a Person of Indian origin. A Person resident outside India is a person who has`s gone out of India or who stays outside India, in either case - For or on taking up employment outside India, or - For carrying on outside India a business or vocation, or - For any other purpose, in such circumstances as would indicate his intention to stay outside India for an uncertain period.
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Do non-resident Indian citizen require permission of Reserve Bank to acquire residential/ commercial property in India? |
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No. An Indian citizen resident outside India does not require any permission to acquire any immovable property in India other than agricultural/ plantation property or a farmhouse.
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Who is a Person of Indian Origin?
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A person of Indian origin is an individual (not being a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan), who: - At any time, held Indian passport; - Who or either of whose father or whose grandfather was a citizen of India by virtue of the Constitution of India or the Citizenship Act, 1955 (57 of 1955)."
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Where can permission be taken for acquisition of agricultural land/plantation property / farmhouse by any person resident outside India or foreign nationals of Indian origin?
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All requests for acquisition of agricultural land/plantation property / farmhouse by any person resident outside India or foreign nationals may be made to The Chief General Manager, Reserve Bank of India, Central Office, Exchange Control Department, Foreign Investment Division (III), Mumbai 400 001.
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Where can one find regulations/directions issued by Reserve Bank for acquisition and transfer of immovable property in India by a person resident outside India? |
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Regulations regarding acquisition and transfer of immovable property in India by a person resident outside India have been notified vide RBI Notification No. FEMA 21/2000-RB dated May 3, 2000 as amended vide Notification No. FEMA 64/2002-RB dated June 29, 2002 and Notification No. FEMA 65/2002-RB dated June 29, 2002 and relevant directions issued in the form of A.P. (DIR Series) Circulars.
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Under the extant foreign exchange regulations to whom is general permission available for purchase immovable property in India? |
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General Permission is available to purchase only a residential/commercial property in India to a person resident outside India who is a citizen of India (NRI) or who is a Person of Indian Origin (PIO).
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Is NRI/PIO who has purchased residential/commercial property under general permission required to file any documents with Reserve Bank of India? |
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NRI/PIO who has purchased residential/commercial property under general permission is not required to file any documents with the Reserve Bank.
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Is there any restriction on number of residential/commercial property that NRI/PIO can purchase under the general permission available? |
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There is no restriction on number of residential/commercial properties that NRI/PIO can purchase under the general permission available
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Can a name of a foreign national of non-Indian origin be added as a second holder to a residential/commercial property purchased by NRI/PIO? |
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No.
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Can a foreign national of non-Indian origin resident outside India acquire any immovable property in India by way of purchase? |
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No. Under section 2 (ze) of the Foreign Exchange Management Act, 1999 ‘transfer’ includes among others, ‘purchase’. Therefore, a foreign national of non-Indian origin resident outside India cannot acquire any immovable property in India by way of purchase.
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Can a foreign national of non-Indian origin acquire residential property on a lease in India? |
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Yes. A Foreign National of non-Indian origin including a citizen of Pakistan or Bangladesh or Sri Lanka or Afghanistan or China or Iran or Nepal or Bhutan may acquire only residential accommodation on lease, not exceeding five years for which he/she does not require prior permission of Reserve Bank of India.
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Can a person resident outside India (i.e. a NRI or a PIO or a foreign national of non-Indian origin) acquire agricultural land/plantation property/farm house in India by way of purchase? |
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No. A person resident outside India cannot acquire by way of purchase agricultural land/plantation property/farm house in India. |
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Can NRI/PIO acquire residential/commercial property by way of gift under the general permission available? |
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Yes. Under general permission available NRI/PIO may acquire residential/commercial property by way of gift from a person resident in India or a NRI or a PIO. |
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Can a foreign national of non-Indian origin resident outside India acquire residential/commercial in India by way of gift? |
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No. Under section 2 (ze) of the Foreign Exchange Management Act, 1999 ‘transfer’ includes among others, ‘gift’. Therefore, a foreign national of non-Indian origin resident outside India cannot acquire residential/commercial property in India by way of gift. |
