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.