NRIs who are planning to return to India, enjoy certain tax benefits.
If you have been an NRI for 9 years or more immediately preceding your return
You have been in India for 729 days or less during the 7 years prior to your return à
Then you are considered a Resident but Not Ordinarily Resident or RNOR for Income Tax purposes. Do note that you need to satisfy only 1 out of the 2 conditions listed above for RNOR status. The Income Tax allows RNORs to continue to enjoy exemptions available to NRIs for a period of 2 years after their return.
Therefore deposits held in foreign currency are exempt for an NRI and shall be exempt for you for 2 years when you are an RNOR.
Do plan your taxes well for these 2 years – post these 2 years, your entire Income, earned anywhere in the world shall be taxable in India.
Do reach out to us if you have any questions and we will be happy to assist you!