– Jan 15, 2011, Asian Voice
The bottom line for any real estate investment, whether it is in India or in any another country, is returns. In the past, earning money from investments in India was a hassle due to lack of transparency and knowledge of local taxation. The easing of global restrictions on money transfer
and regulatory changes has made earning income from a property in India a viable proposition.
Unesta Property Services offers a complete hassle free solution to manage your money. Once we let your property to suitable tenants, Unesta will collect the rental income and forward the money to your NRO account in India every month. Unesta provides a comprehensive service for any maintenance or fees, freeing you from the stress of sending money from the UK on an ad hoc basis. Rental income earned on property in India can be repatriated without limit on the payment of local tax liabilities. There are certain tax-saving measures that can be availed as well, for e.g. Depreciation due to maintenance of the property is deductible from taxable income.
If you wish to sell your property, however, the guidelines for repatriation of the sale proceeds are slightly different. Mr. Shah, based in Hampstead, inherited his ancestral property in Mumbai and came to us with his questions. “I want to sell my flat in Mumbai but am not sure about the tax implications. I don’t have business interests in India and want to bring the money to the UK to invest in my business here. How can I do this without unnecessary delays?”
Currently, you can repatriate sale proceeds of your property to the extent of repatriable funds used for acquiring the property, without any lock in period, for up to two residential properties. The Reserve Bank of India currently allows up to US 1 Million Dollars to be repatriated every financial year subject to the payment of appropriate taxes. Unesta has associated with local tax consultants who specialise in NRI/PIO tax matters to guide our clients.
At Unesta, we’re committed to ensuring that you receive joy and attractive returns from your property in India. If you have any questions about our services, the India property market or would like to get a free, no obligation valuation of your property in Mumbai, please get in touch with us.