Overview



An NRI can operate either on NRE (Repatriable) or on NRO (Non Repatriable) or on both NRE & NRO status.

In case of NRE Status
  • To open NRE A/c. (with designated branch of a bank) - Normal - for all dealings excluding portfolio Investment.
  • To open NRE A/c. - PIS (Portfolio Investment Service) exclusively for Portfolio Investment.
  • To obtain RBI approval through the designated bank (RPI) for buy cum sale through Stock Exchanges.
  • To have a DEMAT A/c. in NRE Status.
  • Report all purchases to RBI through designated bank within 24 hrs.
  • To pay by NRE (PIS) cheque to broker for each contract.
  • Report all sales to RBI through designated bank within 24 hrs.
  • Deposit cheque for sales proceeds in NRE (PIS) A/c.

(Based on the above records, bank will calculate and deduct any Capital Gains Tax if any  and credit net proceeds to PIS A/c).

In case of NRO Status
  • To open NRO A/c. (with designated branch of a bank) - Normal - for all dealings excluding portfolio Investment.
  • To open NRO A/c. - PIS (Portfolio Investment Service) exclusively for Portfolio Investment.
  • To obtain RBI approval through the designated bank (NRI) for buy cum sale through Stock Exchanges.
  • To have a DEMAT A/c. in NRO Status.
  • Report all purchases to RBI through designated bank within 24 hrs.
  • To pay by NRO (PIS) cheque to broker for each contract.
  • Report all sales to RBI through above bank within 24 hrs.
  • Deposit cheque for sales proceeds in NRO (PIS) A/c.

(Based on the above records, bank will calculate and deduct any Capital Gains Tax if any  and credit net proceeds to PIS A/c).