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Taxation of Rental Income

Earning rental income in India as an NRI? Ensure full tax compliance with expert help—from TDS deductions to DTAA benefits and ITR filing—so you stay protected, optimize your returns, and avoid unnecessary liabilities.

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Rental income from property in India is fully taxable, even if you live abroad. NRIs must ensure proper TDS is deducted—typically at 30%—and file an Income Tax Return to claim deductions or refunds. At Right Management Consultants, we manage everything from tenant coordination and lower TDS certificate applications to ITR filing and DTAA-based tax planning. Whether it’s monthly rental inflow or repatriation abroad, we make sure your rental income is tax-efficient, compliant, and stress-free.

Taxation of Rental Income
Support by Experts

We offer end-to-end tax compliance services for NRIs earning rental income—covering TDS, ITR filing, exemptions, DTAA benefits, and tenant compliance to ensure
zero legal or financial risk.

End-to-end compliance for rental income

Lower/NIL TDS certificate application

ITR filing and refund claims

DTAA advisory and tax planning

Tenant advisory for correct TDS deduction and filing Form 15CA/CB (if remitting abroad)

We handle common aspects of
Taxation on Rental Income

Rental Income Is Taxable in India

As an NRI, any rental income from property in India is taxable under Indian law, regardless of your country of residence. You are required to report this income annually through an ITR.

TDS @ 30% by Tenant

Tenants must deduct TDS at 30% before paying rent to an NRI landlord. However, you can apply for a lower or NIL TDS certificate to reduce tax outflow and improve cash flow.

Deductions Under Section 24

You can claim tax deductions like 30% standard deduction on rental income and interest paid on home loans under Section 24, helping reduce your taxable income.

Income Tax Return (ITR) Filing

Filing an ITR in India is essential to declare rental income, claim deductions, and request a refund if excess TDS has been deducted. It ensures you stay compliant and avoid penalties

DTAA Benefits to Avoid Double Taxation

If your country has a DTAA with India, you can avoid being taxed twice on the same income. DTAA provisions allow for tax credits or exemptions depending on your home country’s tax rules.

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About RMC

We are a team of experienced Chartered Accountants and compliance experts specializing in NRI taxation, remittances, repatriation, and business setup in India. With deep knowledge of FEMA, RBI regulations, and international tax treaties, we offer tailored, end-to-end solutions to help NRIs stay compliant and make confident financial decisions. From tax return filings to cross-border fund transfers and business advisory, we ensure clarity, accuracy, and timely execution—no matter where you are in the world.

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