AY 2026-27 | NRI Tax Compliance | Due: 31 July 2026 (Non-audit)

NRI ITR Filing for AY 2026-27
Seamless Tax Compliance | DTAA Benefits

Expert CA-assisted income tax return filing for Non-Resident Indians (NRIs) – whether you have salary from India, rental income, capital gains, or foreign assets. We ensure correct residency status, claim DTAA relief, report foreign accounts accurately, and file the appropriate ITR form (ITR-1/ITR-2/ITR-3) for AY 2026-27. Stay compliant with Indian tax laws while optimising your tax liability.

  • Residency status determination (RNOR / ROR / NRI)
  • Comprehensive foreign asset disclosure (Schedule FA)
  • Double Taxation Avoidance Agreement (DTAA) relief & Form 10F
  • Capital gains reporting on Indian assets (property, shares, mutual funds)
  • Rental income from house property and TDS refund claims
Delhi | Noida | Gurugram File before 31 July 2026

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2,000+
NRI Returns Filed
Across 40+ countries
₹8 Cr+
DTAA Relief Claimed
Maximum foreign tax credit
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NRI Support
Global time zone assistance

Determining Your Residential Status for AY 2026-27

Residential status is the foundation of NRI taxation. For FY 2025-26 (AY 2026-27), an individual is considered a Non-Resident (NRI) if they stay in India for less than 182 days during the financial year. However, there are two additional conditions for individuals leaving India for employment or as a crew member. Special rules also apply for Indian citizens visiting India (deemed resident if total income exceeds ₹15 lakh and stay is 120+ days but less than 182 days). Our experts compute your exact status – NRI, RNOR (Resident but Not Ordinarily Resident), or ROR – to determine tax liability.

  • Stay of <182 days in India → NRI (for most cases)
  • Stay ≥182 days → Resident; further checked for RNOR/ROR
  • Deemed resident rule for Indian citizens with income > ₹15 lakh
  • Correct Residency = Correct Tax Liability

    NRI Income Taxable in India

    As an NRI, you are taxed in India only on income that accrues or arises in India. Your foreign income (salary earned abroad, foreign rental, foreign capital gains) is generally not taxable in India, unless it is deemed to be received in India. The following Indian-sourced incomes are taxable:

    • Salary received in India (or for services rendered in India)
    • Income from house property located in India (rental income)
    • Capital gains from sale of Indian assets (property, shares, mutual funds)
    • Interest income from savings accounts, fixed deposits, or bonds in India
    • Dividend from Indian companies
    • Royalty or fees for technical services from Indian sources

    Foreign income is not taxable in India for NRIs, but must be reported in Schedule FA (foreign assets) if you hold any.

    Only India-sourced income is taxed for NRIs

    Key Tax Highlights for NRIs – AY 2026-27

    • TDS rates for NRIs are higher: 30% on interest (except savings bank interest), 20% on LTCG from property (with indexation), and 20% on LTCG from listed equities (post July 23, 2024) after exemption limit of ₹1.25 lakh.
    • DTAA relief: If TDS deducted is higher than the treaty rate, you can claim a refund by filing ITR and submitting Form 10F + TRC.
    • Capital gains indexation benefit for NRIs selling property held for more than 24 months – 12.5% without indexation or 20% with indexation (whichever lower).
    • No TDS on NRE/FCNR account interest – fully exempt. NRO account interest is taxable, TDS applies @30%.
    • Mandatory filing of ITR if total Indian income exceeds basic exemption limit (₹3,00,000 for NRIs under new regime, ₹2,50,000 under old regime) or to claim TDS refund.
    Higher TDS (30%) DTAA Relief NRE/FCNR exempt

    Which ITR Form Should an NRI File?

    Choosing the correct ITR form is critical to avoid defective return notices. NRIs cannot file ITR-1, ITR-4 if they have foreign assets or are not resident ordinarily. Most NRIs file:

    • ITR-2: If income includes capital gains, foreign assets, more than one house property, or total income > ₹50 lakh (most common for NRIs).
    • ITR-3: If the NRI has business or profession income in India (e.g., consultancy, online business).
    • ITR-1 is NOT allowed for NRIs (only for residents).
    • ITR-4 also NOT allowed for NRIs.

    Our CA team will determine the correct form based on your income sources and asset holdings.

    ITR-2 is the Standard Form for NRIs

    Claiming DTAA Benefits as an NRI

    India has Double Taxation Avoidance Agreements (DTAA) with over 90 countries. As an NRI, you can avoid paying tax twice on the same income – once in India and once in your country of residence. Our process for claiming DTAA relief:

    • Obtain Tax Residency Certificate (TRC) from your country of residence.
    • File Form 10F (self-declaration of residency and beneficial ownership) online.
    • Claim foreign tax credit in Schedule FTC of your ITR for taxes paid abroad.
    • Alternatively, claim benefit under Section 90 (DTAA) to lower TDS rate (e.g., 15% on interest instead of 30%).

    Without TRC and Form 10F, you cannot claim treaty benefits. We help you prepare and submit these documents.

    TRC + Form 10F = Lower TDS / Refund

    Mandatory Foreign Asset Disclosure (Schedule FA)

    Every NRI holding any foreign asset or having any foreign income must file ITR with Schedule FA properly filled. Failure to report can attract a penalty of ₹10 lakh under the Black Money Act. The following must be disclosed:

    • Foreign bank accounts (savings, current, deposit accounts)
    • Foreign property (residential, commercial, land)
    • Foreign investments (stocks, mutual funds, bonds, life insurance policies)
    • Foreign trusts, custodial accounts, ESOPs, or any other financial interest
    • Details of income from foreign sources (not taxable in India but must be reported)

    Our experts help you compile and report these details accurately to ensure full compliance.

    Accurate Schedule FA = Avoid Penalties

    Essential Documents for NRI ITR Filing

    • PAN Card (if not available, we can help apply for one)
    • Passport & Visa/Work Permit to determine residential status and days of stay in India
    • Form 26AS & AIS/TIS – for TDS credits and income summary
    • Form 16 (if Indian salary received)
    • Bank statements (NRO/NRE/FCNR accounts) with interest certificates
    • Property details – rental income, municipal taxes, home loan interest for Indian property
    • Capital gains statements for sale of Indian assets
    • Foreign asset statements (bank accounts, investments, property abroad)
    • TRC (Tax Residency Certificate) and Form 10F for DTAA claim

    We provide a personalised checklist based on your case

    Simple 5-Step NRI ITR Filing Process

    1. Residential Status & Income Analysis: We compute days of stay and determine your status (NRI/RNOR/ROR).
    2. Document Collection – You provide Indian income proofs, foreign asset details, and tax residency certificate if DTAA needed.
    3. Tax Computation & Regime Selection: We compute tax on Indian income, claim available deductions, and apply DTAA relief.
    4. Schedule FA & Foreign Income Reporting: We accurately fill foreign asset disclosure and any foreign income (non-taxable but reportable).
    5. E-Filing & Verification: We file the correct ITR form (ITR-2 or ITR-3) on your behalf using DSC or EVC. You e-verify within 30 days.

    Average turnaround: 4–6 working days after document submission.

    → → → →

    Status → Docs → Compute → File → Verify

    Why Vaidam Consultancy for NRI Tax Filing?

    Specialised NRI tax experts with cross-border experience

    Cross-Border Expertise

    Deep understanding of double taxation treaties, foreign asset disclosure rules, and NRI-specific compliance.

    Maximise DTAA Benefits

    We help claim lower TDS rates or foreign tax credit, saving significant tax outflows for NRIs.

    Accurate Schedule FA

    Meticulous foreign asset reporting to avoid penalties under the Black Money Act.

    Global Time Zone Support

    We work with NRIs across USA, UK, UAE, Canada, Singapore, Australia, and more – 24/7 assistance via email/WhatsApp.

    Capital Gains Planning

    Strategic advice on indexation, Section 54/54EC exemptions for property sales, and tax optimisation.

    TDS Refund Assistance

    Recover excess TDS deducted at higher rates (e.g., 30% on NRO interest or property sale) by timely ITR filing.

    Transparent Fee for NRI ITR Filing

    Basic NRI ITR (ITR-2)

    ₹7,999

    For NRIs with salary, one house property, bank interest, and moderate capital gains – includes foreign asset disclosure.

    Complex NRI Return (Capital Gains/DTAA)

    ₹12,999

    Multiple house properties, foreign income, DTAA claim, complex capital gains (property, shares, crypto), or business income.

    Revised/Belated NRI ITR

    ₹9,999

    Filing for earlier years, late returns, or corrections.

    *GST extra as applicable. Fee includes form filing but excludes government fees (nil).

    NRI ITR FAQs – AY 2026-27

    Is it mandatory for NRIs to file income tax return in India?
    Yes, if your total Indian-sourced income exceeds the basic exemption limit (₹3,00,000 under new regime, ₹2,50,000 under old regime for NRIs). Even if income is below the limit, filing is advisable to claim TDS refunds, show foreign assets, or avoid notices for high-value transactions.
    Can an NRI file ITR-1?
    No. ITR-1 is only for resident individuals. NRIs must file ITR-2 (most common) or ITR-3 (if business income). Filing ITR-1 as an NRI will make the return defective and may be rejected.
    What is the penalty for not reporting foreign assets?
    Under the Black Money (Undisclosed Foreign Income and Assets) Act, failure to report foreign assets in Schedule FA can attract a penalty of ₹10 lakh, irrespective of tax payable. In extreme cases, prosecution and three-year imprisonment may apply. So accurate reporting is critical.
    How can an NRI claim refund of excess TDS deducted on sale of property?
    When a buyer deducts TDS from an NRI seller, the rate is typically 20% for LTCG (plus surcharge and cess) or 30% for STCG. The actual tax may be lower due to indexation or DTAA. By filing ITR, you can claim a refund of the excess TDS. You must provide Form 16C from the buyer.
    What documents are required for DTAA claim?
    To claim DTAA relief, you need a Tax Residency Certificate (TRC) from your country of residence, a self-declaration in Form 10F, and proof of foreign tax paid. Our CAs assist in preparing and uploading these documents on the income tax portal.
    What is the due date for NRI ITR filing?
    For most NRIs without business income, the due date is July 31, 2026. For those with business/profession income in India (and audit applicable), the due date is October 31, 2026. Belated returns can be filed until December 31, 2026, with late fees of ₹5,000 (₹1,000 if income ≤ ₹5 lakh).

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