30 September 2014
Once an NRI becomes a resident Indian, the status of NRE account is also changed to resident account. Upon return to India, the contracted interest rates for NRE fixed deposits opened before return to India will continue till maturity. The accounts are then re-designated as resident and hence IT rules and guidelines are applicable to them.
Querist :
Anonymous
Querist :
Anonymous
(Querist)
30 September 2014
Dear Seetharaman,
Thanks for reply but my question is partially answered, pls. tell whether the person is resident or Not Ordinary Resident for F.Y. 13-14. based on that we can know about taxability of interest
30 September 2014
Now depending on the date of return, a person can take the benefit of the RNOR status for up to 3 tax years in India. (Note than a tax year in India is a fiscal year, that is, from April to March) your calculation is correct now the person is ordinary resident.
Querist :
Anonymous
Querist :
Anonymous
(Querist)
30 September 2014
Dear Sir, Since the nature of NRE Account is not changed till 31 march, so whether the same shall be treated as normal saving bank Account for taxability