Non-Resident Indians (NRIs) usually need loans for investing in property, business, or personal expenses in India. Indian banks and financial institutions provide NRI Loans to address their unique needs, which are designed differently than conventional loans as per the requirements of the Foreign Exchange Management Act (FEMA). For purchasing a house, establishing a business, or meeting education expenses, NRIs can access different types of loans from Indian banks.

Types of NRI Loans Available in India

NRIs can opt for various types of loans according to their financial requirements. The most popular loan segments are:

1. NRI Home Loan

• For NRIs who want to purchase, build, or repair homes in India.
• Repayment has to be done via Non-Resident External (NRE) or Non-Resident Ordinary (NRO) accounts.
• Tenure varies from 5 to 30 years, depending upon the age and stability of income of the applicant.

2. NRI Personal Loan

• A general-purpose loan that can be utilized for medical bills, weddings, foreign travel, or any other personal expense.
• Unsecured loan, i.e., no collateral is needed.
• Interest rates are higher than house loans because of the non-secured nature of the loan.

3. NRI Car Loan

• Loan to purchase a car in India.
• Co-applicants can be allowed by some banks, like resident Indian family members, for convenience.
• Repayment of the loan is made out of NRE/NRO accounts.

4. NRI Business Loan

• Can be used by NRIs to start or run a business in India.
• Collateral, e.g., property or fixed deposits, may be required.
• The business should be registered in India and fulfill FEMA requirements.

An NRI (Non-Resident Indian) is an Indian who lives abroad for employment, business, studies, or any other reason that shows an indefinite foreign stay. As per the Indian Income Tax Act, any individual who stays in India for less than 182 days during a financial year will be considered an NRI. The Foreign Exchange Management Act (FEMA) also classifies NRIs for investment and financial purposes, subjecting them to particular banking and property ownership regulations.

Major NRI Eligibility Criteria:

1. Stay Duration

• If one stays in India for less than 182 days during a financial year, one is considered an NRI under the Income Tax laws.
• Under FEMA, NRI status is intent- and purpose-based residence and not merely days spent abroad.

2. Employment or Business Abroad

• Individuals employed or engaged in business outside India, even though they possess an Indian passport, are treated as NRIs.

3. Students Studying Abroad

• Indian students residing abroad for education for more than 182 days in a financial year are categorized as NRIs.

4. Foreign Nationals of Indian Origin

• Foreigners born in India but who have gained foreign citizenship are not NRIs; they can be eligible for OCI (Overseas Citizen of India) status, however.

Non-Resident Indians (NRIs) enjoy a number of rights in India, which enable them to stay connected to the nation despite being abroad. Although they do not enjoy the same benefits as Indian citizens in some respects, they have rights pertaining to property ownership, business, banking, investments, and legal safeguards. NRIs, however, have to adhere to rules under the Foreign Exchange Management Act (FEMA) and other Indian laws.

Important Rights of NRIs in India:

1. Rights of Property Ownership

• NRIs are entitled to owning residential and commercial property in India.
• They can't purchase agriculture land, farmhouses, or plantation property, but they can inherit them.

2. Right to vote

• NRIs with Indian citizenship can cast their votes in Indian elections.
• They have to be physically present within their registered constituency on the day of voting.
• NRIs can't cast their votes for local or state elections from any other place.

3. Business & Investment Rights

• NRIs are allowed to open businesses, invest in Indian share markets, and keep fixed deposits in Indian banks in special NRE/NRO/FCNR accounts.
• They can invest in real estate, mutual funds, and government securities as per FEMA guidelines.

4. Taxation Rights & Obligations

• NRIs are taxed only on the income generated in India (for example, rent income, capital gains, or business income).
• They can take advantage of Double Taxation Avoidance Agreements (DTAA) if India has an agreement with their home country.

5. Education & Employment Rights

• The NRIs and children of NRIs can seek admission in Indian institutions of higher studies and can apply for special reservations in certain universities.
• They are eligible to take private sector jobs but not governmental posts or apply for civil service jobs.

6. Legal & Inheritance Rights

• NRIs are entitled to inherit wealth, assets, and property from Indian kin.
• They can pursue cases and receive justice in Indian courts and legal systems.

7. Banking & Financial Rights

• NRIs may operate Non-Resident External (NRE), Non-Resident Ordinary (NRO), and Foreign Currency Non-Resident (FCNR) bank accounts in India.
• They may repatriate money overseas, but there are restrictions based on the account type.

An NRI has to pay tax in India on income received in India. Income received outside India is not taxable for NRIs unless they are Residents under the Indian tax laws. The tax liabilities of an NRI are mainly regulated by the Income Tax Act, 1961, and their residential status in a financial year decides the rules of taxation that apply to them.

Major Tax Duties of NRIs:

1. Income Tax on Indian Income

• NRIs are required to pay tax on income received or earned in India, including rental income, capital gains from selling property, fixed deposit interest, and dividends.
• Tax rates applicable to NRIs are identical to resident Indians based on income bands.

2. Exemptions on Overseas Income

• Income received abroad is not to be taxed in India unless the NRI becomes a resident if the duration of their stay extends. 

3. Capital Gains Tax on Property

• In case the NRI disposes of property in India, Capital Gains Tax is paid based on the period of holding:
• Short-Term Capital Gains (STCG): Where the property has been held for less than 2 years, the tax is imposed according to the relevant income tax slab.
• Long-Term Capital Gains (LTCG): In case the property is held for over 2 years, a 20% tax with indexation advantage is levied.

4. Double Taxation Avoidance Agreement (DTAA)

• India has DTAA arrangements with most nations to avoid taxation of NRIs twice on a single income. NRIs may claim relief under these agreements through the submission of a Tax Residency Certificate (TRC) issued by the resident country.

5. Filing Income Tax Returns (ITR)

• NRIs need to file an ITR in India if they have a taxable income of over ₹2.5 lakh a year or income from property or investments in terms of capital gains.
• The deadline for submitting ITR is July 31st of every assessment year.

Passport renewal is necessary for NRIs (Non-Resident Indians) to have valid documents for travel and residency when residing abroad. Indian passports held by NRIs need to be renewed before they expire to prevent legal and travel issues. Renewal is distinct from obtaining a fresh passport and has to be conducted through the Indian embassy or consulate in the country of residence of the NRI.

When to Renew the Passport of an NRI

• Prior to Expiry: One should apply for renewal at least 6 months prior to expiry.
• Damaged, Lost or Stolen Passport: If passport is lost, stolen or damaged, it must be renewed.
• Change in Personal Details: If name, spouse's name, address, or appearance has undergone a change, the passport has to be renewed.
• Exhausted Pages: If all pages in the passport are used, a new passport needs to be issued.

How to Renew an Indian Passport for NRIs?

The renewal process for an NRI passport involves the following steps:

• Visit the Official Portal – Go to the website of the Indian Mission (Embassy/Consulate) in the country of residence. Some NRIs can apply via the Passport Seva website.
• Fill Out the Online Application – Fill up the renewal form and upload necessary documents.
• Book an Appointment – Fix an appointment for document verification and biometrics at the local Indian Embassy/Consulate or VFS Global centre.
• Submit Required Documents – Bring the original passport and necessary documents to the embassy on the appointed day.
• Pay Renewal Fees – Varies per country and relies on the pages of the new passport (36 or 60 pages).
• Track Application Status – Utilize the tracking system of the concerned embassy or VFS Global to monitor the progress.
• Get the Renewed Passport – The renewed passport is generally sent by courier or may be picked up from the embassy. The processing would normally take 2 to 6 weeks, depending on the nation and embassy volume.

Documents Needed for NRI Passport Renewal

• Original current Indian passport and photocopy of the first and last pages.
• Valid visa, residence permit, or Green Card of the host country.
• Recent passport photos according to embassy specifications.
• Evidence of residence in the foreign state (utility bill, lease document, or bank statement).
• In case, evidence of a change of name, addition of spouse's name, or change of address.
• Police report (where the passport has been lost or stolen).

An NRI can lawfully purchase, own, inherit, and sell property in India according to the rules prescribed by the Foreign Exchange Management Act (FEMA). There are certain rules and limitations that the NRI needs to adhere to while handling property in India.

Important Rules for NRIs Who Own Property in India:

1. Types of Property that NRIs Can Purchase

• NRIs are allowed to buy residential and commercial properties in India without a special license.
• There is no limit on the number of properties that an NRI can hold.

2. Restrictions on Agricultural and Farm Land

• NRIs are not allowed to acquire agricultural land, plantation property, or farmhouse in India.
• But they are allowed to receive these properties by way of gift or inheritance from resident Indian relatives.

3. Funding for Property Purchase

• NRIs are able to finance property acquisition in India from their NRE (Non-Resident External) or NRO (Non-Resident Ordinary) accounts.
• Indian banks extend home loans to NRIs but require repayment via NRE/NRO accounts or inward remittances.

4. Renting Out Property in India

• NRIs can rent out their properties and receive rental income in their NRO account.
• The tenant must deduct 30% TDS before transferring rent to the NRI’s account.

5. Inheritance and Gifting of Property

• NRIs may inherit property from Indian citizens, resident NRIs, or fellow NRIs.
• They may gift their property to resident Indians or fellow NRIs, but they may have taxation implications.

Non-Resident Indian (NRI) children enjoy certain rights and advantages in India and can keep in touch with their native country easily. Although NRI children stay outside India, they are covered by different laws, educational schemes, property right entitlements, and other forms of benefits through Indian law. Their rights essentially vary based on their citizenship, i.e., whether they carry an Indian passport, an OCI (Overseas Citizen of India) card, or hold foreign citizenship.

Benefits of NRI Kids in India:

Rights of Education:

• NRI and OCI kids are allowed to study in India under reserved admission quotas in schools and universities.
• Several institutions, such as IITs and medical colleges, have reserved NRI/OCI seats.
• They might be asked to pay a higher fee than Indian citizens.

Rights of Property:

• Indian passport holders are free to purchase and inherit property in India.
• OCI cardholders can buy residential and commercial properties but not agricultural land or farmhouses.
• NRI children can inherit property from parents or relatives.

Financial Rights:

• Indian passport holders can open and maintain normal bank accounts in India.
• OCI cardholders can open NRE (Non-Resident External), NRO (Non-Resident Ordinary), and FCNR (Foreign Currency Non-Resident) accounts.
• They can invest in Indian mutual funds, shares, and real estate as per RBI rules.

Healthcare and Medical Benefits:

• NRI children are eligible to receive healthcare facilities in India, including private hospitals.
• They are not eligible for government-sponsored health schemes meant for Indian residents.

Voting and Political Rights:

• Indian passport holders are eligible to vote in Indian elections once they attain the age of majority.
• OCI cardholders are not eligible to vote, stand for elections, or take up government employment in India.

A Permanent Account Number (PAN) Card is a very important document for Non-Resident Indians (NRIs) who carry out financial transactions or investments in India. It is given by the Income Tax Department of India and must be obtained for taxation purposes, banking, and investment. Although NRIs are not liable to pay tax in India on their worldwide income, they must obtain a PAN card for financial operations in India.

Reasons Why NRIs Require a PAN Card

• Filing of Income Tax: If an NRI earns income taxable in India (salary, rent, capital gains, etc.), a PAN card is required to file income tax returns.

• Investment in India: NRIs making investment in mutual funds, stocks, or bonds require a PAN card under SEBI rules. It is required for opening a Demat and trading account with Indian stock brokers.

• Property Transactions: A PAN card is necessary to purchase, sell, or lease property in India, so that the tax deductions on rental income or capital gains can be made properly.

• Opening an NRI Bank Account: Although some banks do not require a PAN card to open an NRE/NRO account, it is necessary for financial transactions such as fixed deposits and remittances.

• Business & Entrepreneurship: NRIs who intend to start a business or invest in an Indian company need to have a PAN card for tax purposes and registrations.

An NRI Voter ID allows Non-Resident Indians (NRIs) to cast their votes in Indian elections from abroad. Launched by the Election Commission of India (ECI), this facility provides NRIs with the option to vote in their home constituency, subject to the condition that they are present in India on the day of the election. NRIs are classified as Overseas Electors, and their names are on the electoral rolls of their previous residence in India before departure to foreign lands. NRIs are not required to be Indian residents but should be citizens of India and possess a valid Indian passport.

Benefits of NRI Voter ID

• Right to Vote: Facilitates NRIs to exercise their franchise in the democratic process of India.
• No Physical Residency Required: Registration is possible without staying in India.
• Enhanced Electoral Participation: Facilitates increased participation of foreign Indians in elections.
• Approved by the Government: Offers legitimate voter registration to NRIs.
• Possible Future Development: Could enable online or postal voting in the future.

Non-Resident Indians (NRIs) having property in India can sell it, but the procedure is subject to certain legal and tax norms. According to the guidelines of the Foreign Exchange Management Act (FEMA), NRIs can sell residential or commercial property to an Indian resident, another NRI, or a Person of Indian Origin (PIO). Agricultural land, plantation property, and farmhouses, however, can be sold only to Indian residents. The sale has to be in accordance with RBI guidelines, and the proceeds of the sale have to be repatriated via appropriate banking channels.

Important Points Regarding NRI Sale of Property

Eligible Buyers:

NRIs may sell a residential and commercial property to Indian citizens, NRIs, and PIOs.

Farmland, farmhouses, and plantations are to be sold only to Indian residents.

Tax Implications:

• Capital Gains Tax: Short-term (less than 2 years) is charged according to the income tax slab, whereas long-term (more than 2 years) is charged at 20% with indexation relief.
• Tax Deducted at Source (TDS): Buyers are required to deduct TDS at 20% for long-term gains and 30% for short-term gains before payment to the NRI seller.
• Exemptions: NRIs are able to save on capital gains tax by investing in another residential property (under Section 54) or Capital Gains Bonds (Section 54EC).

Power of Attorney (PoA):

NRIs are able to appoint a reliable individual in India to manage the sale process on their behalf through a legally notarized Power of Attorney (PoA).