Checklist for Non Resident Indian Before Filing Returns In India 


When the person got the status NRI, he has to ascertain his Tax Liability in Both Country – India and Other foreign countries in which he resides. So when NRI invests certain his Income in India then he earns income on Investment in India then only he is required to file Income Tax if crossing beyond the threshold of the Tax Slab.

Checklist for NRI

 Accordingly, while filing Return, NRI has to determine crucial points while filing Income Tax returns.

The following points are mentioned here below:-

  • Knowing the Residential Status:-

It is a prerequisite to determine the residential status by the person liable to Tax. So according to this determination of Residential Status, NRI income will be determined.

 If Status of NRI is Resident then his Global Income (either earned or accrued in India or outside India ) will be Taxable as per the prevalent Income Tax provisions. However, if his income is earned or accrued outside India then that part of the amount will not be taxable in India while filing Income Tax return.

  • Opting the Correct Income Tax Form:-

A rapid change is observed in Income Tax return or forms to make the forms Compliance burden free and User-Friendly so there have been seen lots of changes in filing procedures.

One has to determine the Correct Income Tax filing Form as per the Income earned by the Taxpayer.

For Instance:-

ITR 3- It is applicable for the persons having Business or Profession Income and/or having other source Income as well

  • No need of Aadhar Card:-

As per  the Central Board of Direct Taxes (CBDT), reference notifying section 139AA  has notified that Quoting of Aadhar Number will not applicable to NRIs

  • Assets and Liability details:-

When the NRI has total income is above ₹ 50 Lakhs, then they are required to report the  cost of certain assets (movable as well as immovable) located in India and their corresponding Liability 

  • Furnishing of Foreign bank:-

NRI has been exempted to report their Foreign Bank Accounts while filing Income Tax Return and having a bank account in India provided that they either do not claim refunds or claim refunds.

If this is not the case then NRI required to mention at least One Foreign  Account while Filing income Tax Return.

  • The compulsion of filing ITR 

When the NRI has the taxable Income is less than the Basic exemption limit but his Exempt Income is more than the Basic Exemption Limit then even also, he is required file the Income Tax mandatorily irrespective of the fact that the taxable income is less than the Basic exemption

  • Matching the form 26AS:-

Here, the NRI has to consider the Form 26 AS for determining the TDS credit or advance taxes paid that are clearly reflected in Form 26 As.

  • Furnishing of Exempt Income details:-

Although it doesn’t impact the Income Tax liability, it is prerequisites for the NRI to furnish details of Exempt Income.

For Eg:- dividends, interest on NRE/FCNR deposit.

TDS Certificate

  • Double Tax Avoidance Agreement (DTAA) benefit;-

whether a particular income, in India, can be considered as taxable or not, then one needs to determine whether India has signed a comprehensive DTAA with the country of residence.

Accordingly, a relief under DTAA can be claimed (income may be entirely exempt, or maybe taxable at a lower rate) if India has signed a comprehensive DTAA with the country of residence

  • Interest Income Declaration:-

Bank interest (Savings and/or FD), Post Office interest has to be furnished as per the CBDT instructions. Interest received will be taxable unless it is exempted under section 10. 

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