Income received in NRO account is fully taxable...it means we can get benefit of deduction in case of payment from NRO account...
what is the provision for transfer of funds from NRO to NRE ( tax free) account??
Documents required: To transfer funds from NRO to NRE account, the following documents are required.
Signed cheque/ letter for funds transfer from NRO to NRE savings account.
FEMA declaration. This is a document which says that you are eligible to transfer funds from a NRO to a NRE account according to provisions of the FEMA law.
Documentary evidence of source of funds
You need to submit form 15CA and 15CB. Form 15CB needs to be obtained from the chartered accountant. This shows the source of your funds. Form 15CA can be filled online.
Filling form 15CA: Filling form 15CA involves the following steps.
Login to the Income Tax India website, www.incometaxindiaefiling.gov.in
Input your User ID ( PAN) and password
After logging in go to the option- ‘E-file- Prepare and Submit Online Form (Other than ITR)’.
Select form 15CA.
You will find instructions to fill the form
The form is in four parts- Part A, Part B, Part C and Part D.
Complete filling the part that is applicable to you.
Once you have filled up the form, verify and submit
Click on the form and take a printout. Also take a printout of the acknowledgement slip.
Sign the filled up form and submit it to the bank in duplicate
It is recommended that you get in touch with a CA to understand the process. Understand the conditions carefully before you do a fund transfer.
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