international-tax

NRI Property Sale Tax in India

Understanding tax implications when NRI sells property in India including TDS, capital gains calculation, and exemptions.

GetYourCA Team
1 April 2025·Updated 9 April 20261 min read12.5K views

NRI Property Sale Tax in India

TDS on NRI Property Sale#

  • Buyer must deduct TDS @ 20%
  • 30% if seller doesn't have PAN

Capital Gains Calculation#

Long-Term (Held > 24 months)#

  • Indexed cost
  • 20% tax with indexation

Short-Term (Held < 24 months)#

  • Taxed as per slab rate

Exemptions Available#

  • Section 54: Reinvest in residential
  • Section 54EC: Capital gains bonds

NRI Tax Rates#

TypeTax Rate
Short-termSlab rate
Long-term20%

How to File ITR#

  • File ITR-2 for property income
  • Report sale in Schedule CG
  • Claim exemption with details

Conclusion#

NRI property sale has specific tax rules.

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Disclaimer

We have taken utmost care to research and write this article for your information. However, tax laws are complex and subject to frequent changes. This article is for general guidance only and should not be considered professional advice. Individual circumstances vary significantly — what works for one person may not apply to another.

Before making any tax-related decisions, we strongly recommend consulting with a qualified Chartered Accountant or tax professional who can assess your specific situation. We do not accept any liability for decisions made based on this information.

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