Westcliff RealtyTwo routes for repatriation
Indian foreign exchange rules give NRIs two ways to send property sale money abroad:
- Up to the amount you originally paid in foreign exchange: if you bought the property with money sent from abroad or paid from your NRE or FCNR account, you can repatriate up to that amount for up to two residential properties
- Up to USD 1 million per financial year (April to March) from your NRO account: this covers the rest of the sale proceeds, including gains and property you inherited or bought with Indian income
There is no longer a lock-in period before you can repatriate. Tax due on the sale must be paid first.
Forms 15CA and 15CB
Before a bank sends money abroad from your NRO account, it needs a declaration filed on the income tax portal (Form 15CA, filed by you or the bank on your behalf) and, for larger taxable amounts (above ₹5 lakh in a financial year), a certificate from a chartered accountant (Form 15CB) confirming that the tax has been paid. The CA reviews your sale deed, the TDS deducted and your tax computation.
Under the Income-tax Act, 2025 these forms carry new numbers, but banks and CAs still follow the same process.
Documents your bank will ask for
- The registered sale deed
- Proof of how you originally paid for the property: bank statements, foreign inward remittance certificates (FIRCs) or NRE account statements
- TDS certificates and, ideally, your Indian tax return for the year of the sale
- Forms 15CA and 15CB
- The bank's own remittance application (often called Form A2)
- Your passport, PAN and proof of NRI status
How long it takes and what it costs
Once the paperwork is complete, banks usually send the wire within a few working days. Expect a CA fee for Form 15CB, the bank's remittance charges, and the exchange margin on converting rupees to dollars. Compare the bank's exchange rate with the market rate on the day; on large amounts the difference matters.
On the US side
- Money you move from your own Indian account is not income in the US, but the gain on the sale is reportable on your US return
- Your NRO account balance counts towards the FBAR and FATCA reporting thresholds for the year
- Keep the bank's remittance advice and the sale documents with your US tax records
Tips to avoid delays
- Keep every remittance record from when you bought the property; it decides how much you can repatriate under the first route
- Plan large amounts across two financial years if they exceed USD 1 million
- Make sure your NRO account KYC and FATCA declaration are current before the sale closes
FAQs
Can I send the sale money directly to my US account from the buyer?
No. The buyer pays into your Indian account, usually your NRO account, and the bank remits it abroad after the tax paperwork.
Is there a limit on how much I can repatriate?
Up to USD 1 million per financial year from NRO balances, plus, separately, up to the amount you originally paid in foreign exchange for up to two homes.
Do I need a CA?
Usually yes. For taxable remittances above ₹5 lakh in a year, banks need a chartered accountant's certificate that the tax has been paid.
Can I repatriate money from an inherited property?
Yes, under the USD 1 million per year route, with documents showing the inheritance and the sale.
This guide is general information, not legal or tax advice. Rules change; confirm the details with a chartered accountant or lawyer before you act.