USD/INR: 95.59

← Blog

Do NRIs With No India Income Still Need to File an ITR?

"No India income, no India filing" is mostly true for NRIs — until one of a short list of specific triggers applies. Here's what to check before assuming you're in the clear.

Not professional advice

This page provides general information only, for the US-India NRI corridor, and is not professional tax, legal, or financial advice. It does not account for your individual circumstances. Rules referenced here can change, and outcomes depend on facts specific to you. Please consult a qualified tax advisor, chartered accountant, or attorney licensed in the relevant jurisdiction before making any decision.

For an NRI with genuinely no India-sourced income in a financial year, filing an Indian income tax return is generally not mandatory. But "no salary" isn't the same as "no filing trigger" — several other conditions can make a return mandatory even for someone whose only India connection is a bank account or a small investment.

The core trigger: income above the exemption limit

Filing becomes mandatory once your total taxable India-sourced income for the year exceeds the basic exemption limit for NRIs (India-sourced rent, interest, capital gains, and similar income all count toward this, even without a salary). The exact rupee threshold has moved with recent tax law changes, so check the current-year figure rather than assuming a prior year's number still applies.

Triggers that apply regardless of total income

A few conditions force a filing requirement independent of whether your total income crosses the exemption limit at all: short-term capital gains on listed equity shares, equity-oriented mutual fund units, or business trust units; TDS or TCS on your India income exceeding ₹25,000 in the financial year; and depositing more than ₹1 crore in aggregate across current accounts. Any one of these on its own is enough to require a return, even if every other figure on your India side looks minor.

The triggers, at a glance:

  • India-sourced income above the exemption limit for the year — file
  • Any short-term capital gains on listed equity/equity MF/business trust units — file, regardless of total income
  • TDS or TCS on India income over ₹25,000 in the financial year — file
  • Over ₹1 crore deposited across current accounts in the year — file
  • None of the above, and genuinely no India income — filing is typically not mandatory, but may still be worth doing voluntarily to claim back excess TDS

The TDS-on-NRO-interest calculator on this site's NRE/NRO & TDS page is a useful starting point for the second-most-common trigger NRIs hit — interest income and the TDS withheld on it — even when the underlying interest amount itself looks small.

Try the NRE/NRO & TDScalculators →