Bank Accounts
|
Bank Accounts
|
Non Resident External Rupee Account (NRE)
|
Non Resident
Ordinary Rupee Account : NRO |
Foreign Currency Non Resident Account : FCNR
|
| Currency Denomination | Rupee Denominated A/c. | Rupee Denominated A/c. | Foreign Currency Denominated A/c; Permitted Currencies – USD, GBP, JPY & Euro |
| Type of Bank A/c. | SA, CA, RD, FD.# | SA, CA, RD, FD.# | Term Deposit : 1-2, 2-3, 3 years |
| Power of Attorney | POA can be granted to residents for operation of the bank account. POA cannot be used for opening of the A/c. | ||
| Taxability of Interest | Interest income, from NRE accounts is presently exempt. However, it is taxable w.e.f. financial year 2005-06. | Interest income, from NRO accounts is taxable. | Interest income, from FCNR accounts is presently exempt. However, it is taxable w.e.f. financial year 2005-06. |
| Repatriation of Funds | Balance freely repatriable. | Interest or income on investments made on non repatriation basis can be repatriated. NRI/PIO/Foreign Nationals are permitted to remit upto USD 1 million, per calender year out of balance held in NRO account. | Balance freely repatriable. |
| Joint Holding with Resident | Joint holding permitted with other NRI/PIO@. Joint holding withh residents disallowed. | Joint holding permitted with NRI, PIO as well as residents. | Joint holding permitted with other NRI/PIO. Joint holding withh residents disallowed. |
| #: SA – Savings Account,
CA – Current Account, RD – Recurring Deposit, F – Fixed Deposit. |
|||
| @: PIO – Person of Indian Origin | |||
