We would highly recommend NRI Legal Services to people who need to handle legal ...
Usha V. Kumari
My name is Kiran Mann and I live in Ottawa , Canada. I am a recently retired se...
Agreement to sell was made on Feb,1995 betwween two real brothers one brother wh...
Dear Nidhi Ji and Monisha, Good morning. Hope all is well! So finally af...
Just a quick email to say a very big thank you for helping my parents out. For t...
NRI Legal Services was great when it came to handling our affairs in India rela...
I can confirm that I have used the services of NRI Legal Services which has pro...
I would highly recommend Mindsprings to any body from overseas. I heard about ...
Through the internet i found the name called NRI Legal Services based in Mindsp...
I'd like to recommend all NRI's to NRI Legal Services. My father recently used a...
I am currently using NRI Legal Services to assist me with an ongoing matter i...
NRI legal services are a breath of fresh air when it comes to getting anything...
I appreciate the help you have provided this far, and I must say - I am impres...
I am emailing to confirm the services I received from you. The communication...
Narinder S Sangha
With regards to the service you Monisha Mahajan, Jasanjit Dullet and your team...
I would whole heartedly recommend NRI legal services for their profes...
I've had two legal engagements with NRI legal Services / Mindsprings....
I thank you very much for the work you have done for me so far without my any ...
In our dealings with NRI Legal Services thus far we greatly appreciate your e...
Balhar Singh Sahota
After much research and background check of your business, I chose your company ...
Cabinet gives its approval to review FDI Policy on investments by NRIs, PIOs and OCIs
The Union Cabinet, chaired by Prime Minister Narendra Modi, has given its approval to review Foreign Direct Investment (FDI) Policy on investments by Non-Resident Indians (NRIs), Persons of Indian Origin (PIOs) and Overseas Citizens of India (OCIs).
Following are the amendments approved by the Cabinet to incorporated in FDI policy:
(i) By amending relevant para, definition of NRI will be as under: ‘Non-Resident Indian’ (NRI) means an individual resident outside India who is citizen of India or is an ‘Overseas Citizen of India’ cardholder within the meaning of section 7 (A) of the Citizenship Act, 1955. ‘Persons of Indian Origin’ cardholders registered as such under Notification No. 26011/4/98 F.I. dated 19.8.2002 issued by the Central Government are deemed to be “Overseas Citizen of India’ cardholders”.
(ii) To provide that investment by NRIs on on-repatriable basis is domestic. Following new para is approved to be added: ‘Investment by NRIs under Schedule 4 of FEMA (Transfer or Issue of Security by Persons Resident Outside India) Regulations will be deemed to be domestic investment at par with the investment made by residents.’
The decision that NRI includes OCI cardholders as well as PIO cardholders is meant to align the FDI policy with the stated policy of the government to provide PIOs and OCIs parity with Non Resident Indians (NRIs) in respect of economic, financial and educational fields.
Further the decision that NRIs investment under Schedule 4 of FEMA (Transfer or Issue of Security by Persons Resident Outside India) Regulations will be deemed to be domestic investment made by residents, is meant to provide clarity in the FDI policy as such investment is not included in the category of foreign investment.
The measure is expected to result in increased investments across sectors and greater inflow of foreign exchange remittance leading to economic growth of the country.
In the last one year, the government has taken a number of reform measures ranging from policy corrections to bold economic reforms.
On FDI policy, the measures taken by the government are historic and far reaching. To begin with, the government first reviewed the FDI policy in defence and railways sectors. Entire range of rail infrastructure was opened to 100% FDI under automatic route, and in defence, sectoral cap was raised to 49%.
To boost infrastructure creation and to bring pragmatism in the policy, the government reviewed FDI policy in construction development sector also by creating easy exit norms, rationalizing area restrictions and providing due emphasis to affordable housing. To give impetus to medical devices sector, a carve out was created in FDI policy on pharmaceutical sector and now 100% FDI under automatic route is permitted. Bold reforms were needed in the services sector also.
The government, in order to expand insurance cover to its large population and to provide required capital to insurance companies, raised the FDI limit in the sector to 49%. Pension sector has also been opened to foreign direct investment up to the same limit.
India has a large available skilled and unskilled workforce. Prime Minister Narendra Modi launched ‘Make in India’ on September 25, 2014 to provide boost to manufacturing sector in the country.
Subsequently, the government embarked upon a number of initiatives on ease of doing business. A number of regulations and procedures were either done away with or eased. Foreign investors have now shown unprecedented interest for investment in the manufacturing sector.
Measures taken on this front have shown highly encouraging results and foreign investment on a series of manufacturing sectors has shown increased growth from October onwards.
Domicle certificate needed for Indians on NRI quota
Admission Committee for Medical and Paramedical Courses (ACMPMC) has decided that students seeking admission to medical and paramedical courses on the 15% NRI quota will have to produce a domicile certificate.
A domicile certificate is issued to prove that the person bearing it is a resident of Gujarat. This certificate is required as proof of residence to avail of resident quotas in educational institutions and in the government service.
Of the 3,080 medical seats, there are around 300 seats in self-financed colleges reserved for NRIs or NRI-sponsored students. Officials said the domicile certificate was required for NRI-sponsored students. This was because students from other states were getting sponsorships from NRIs and seeking admission here, and this was preventing Gujarat students from getting admission. ACMPMC hence decided priority would be given first to NRI students, then to NRI-sponsored students with domicile from Gujarat and later, if seats are vacant, to NRI-sponsored students from other states.
ACMPMC also sought the opinion of Medical Council of India over conducting an entrance examination for NRI or NRI sponsored students.
UAE NRI alert: India’s top city for buying real estate is…
Mumbai and the National Capital Region (NCR) have lost their position as prime real estate markets in India, with Bengaluru, the Silicon Valley of the country, topping the list of most attractive real estate investment city, states a new report.
In its report titled ‘Top 10 cities in the Indian real estate marke’, PropEquity, a real estate data and analytics firm, said it while ranked #6 in 2009, Bengaluru has now replaced Mumbai, which is placed at #8 in 2015.
All the cities of NCR declined compared to 2009.
Noida was placed #11 compared to #4 in 2009; Gurgaon slipped from #7 to #10, while Ghaziabad was at #11 from #10.
Pune maintains its position at #2, while Chennai improved its position to reach #3 from #5 in 2009.
Hyderabad also showed improvement, rising six places to #4 from #10 in 2009.
In terms of unsold stock, the western region accounted for over 45 per cent of the total 760,000 of unsold stock in the 14 cities.
Mumbai Metropolitan Region (215,203 units), NCR (188,751 units), and Bengaluru (100,406 units) together accounted for more than two third of unsold inventory in the top 14 cities, the report disclosed.
NCR’s inventory rose by 14 per cent due to increase in inventories in Noida, Greater Noida, and Ghaziabad, while MMR and Southern region saw a marginal decline.
All the five cities of NCR reported an inventory overhang of more than 50 months in 2015 with Bengaluru having the lowest overhang at 22 months, followed by Pune at 24, and Ahmedabad at 25 months.
Despite a “significant” slowdown in real estate sector in the past two years, new launch prices continued to rise, ranging from five to 16 per cent on a compounded annualized price rise (CAPR), over a four year period.
The maximum increase was witnessed in Gurgaon, with a CAPR of 16 per cent, followed by Thane at 14 per cent, and Pune and Mumbai at 12 per cent each.
Mumbai continued to be the most expensive city with weighted average price of Rs16,000 (Dh925) per square feet (psf), followed by Gurgaon at Rs6,700 psf.
Bengaluru topped the list of market size, leading with Rs360 billion of primary yearly sales, an increase 4 per cent from last year, the report added.
Mumbai fell 13 per cent with a market size of Rs340 billion, followed by Pune (Rs216b), Gurgaon (Rs165b), Thane (Rs163b), Chennai (INR130b), Greater Noida (R106b), and Hyderabad (INR100b).
The market size of NCR saw the biggest drop. It fell 58 per cent to R264b from R552b, the report said.
PropEquity, which tracks over 16,000 developers, and 65,000 projects in 40 cities across India, has based the report on indicators such as projects launched; projects offered possession; units launched; units absorbed; total unsold stock; launch price increase; inventory overhang and size of market.
Tax talk: How property deals in India affect NRIs’ tax outgo
FOR NRIs wishing to invest in property in India, there are a variety of factors to be considered. These include income-tax and foreign exchange regulations, among others. Under the exchange control regulations, there is a specific definition of a non-resident Indian (NRI) in the context of acquisition and transfer of immovable property.
An NRI is an Indian citizen who resides outside the country. Further, a PIO is defined as an individual who, at any time, held an Indian passport, or who, or either of whose father/mother or whose grandfather/grandmother were a citizen of India. Certain nationals are, however, not eligible for this status.
A liberalised foreign exchange regime allows NRIs/PIOs to invest in property except for agricultural land, plantation property and farm house in India. An NRI/PIO can buy a property with the funds remitted from abroad through normal banking channels, or through the balance held in any non-resident account (NRO/NRE/FCNR) in India, in accordance with regulations.
A NRI can transfer any immovable property held to an Indian resident. However, he can transfer the property in India (other than agricultural land, plantation property and farm house) to a person resident outside India only if the transferee is an NRI or a PIO. There are separate rules for PIOs in this regard.
On transfer of the property, an NRI/ PIO can repatriate his investment and its appreciation as follows:
Where the initial investment was made through an NRE or FCNR account or from remittance abroad, there is no cap on repatriation of the amount of initial investment. Such repatriation is restricted to a maximum of two residential properties acquired by way of purchase. Any balance sale proceeds that cannot be remitted based on these limits can be credited to the NRO account and remitted under the $1-million facility available to NRIs every financial year.
For instance, X, an NRI, purchased a house in 2004 for $60,000 by remitting money from his US bank account and has sold it in 2015 for $150,000. He could, therefore, remit his original investment of $60,000 (assuming that this is either the first or second remittance on sale of property purchased by him) and the balance $90,000 that has been credited to his NRO account can be remitted under the $-1 million facility. Where the initial investment was made through an NRO account/rupee-denominated account, the initial investment, along with the appreciation, would be covered under the liberalised foreign exchange regime wherein NRIs could remit up to $1 million.
An NRI should also be aware of certain withholding tax obligations at the time of purchase of the property. Further, any income accruing from such an ownership in the form of rent (if it is actually let out) /notional rent (applicable in certain situations) would be subject to tax in India as per the normal provisions of tax laws. NRIs will be entitled to avail of all tax deductions available to Indian residents.
Short-term capital gains are taxed as normal income at applicable slab rates. Long-term capital gains attract tax at 20%. For the purpose of calculating capital gains, the cost of acquisition would be eligible for indexation even if the acquisition is funded by inward remittance of foreign exchange.
The NRI will also be required to file tax return for such income and taxes paid on it. As NRIs may also have to pay tax on the income generated from real estate investment in India in their country of residence, they should check for the relief available under the domestic tax law of that country and the applicable double-tax avoidance agreement, if any.
Should NRI Indians invest in property despite rupee fall?
Scheme for NRIs to lease land for solar projects soon: Majithia
Punjab revenue and renewable energy minister Bikram Majithia has said that to safeguard the ancestral property of Non-resident Indians (NRIs), the state government would soon come up with a land lease scheme under which they could give their land on lease for solar energy projects for 27 years.
The minister, in Jalandhar to inaugurate a solar power plant in Lallian village, said, “If NRIs lease their land, there would be no scope of illegal possession or change in revenue record, the most common problem faced by them. The Punjab Energy Development Authority (PEDA) would act as a mediator between two stakeholders. Under the current proposal, NRIs would get 5% enhancement per annum on their lease fee and this makes it a lucrative business proposal,” said Majithia, addressing the gathering after inauguration of the solar plant.
“At present, NRI who are interested in keeping their land in their hands fear while giving it to farmers on contract. The Punjab government would ensure that the land is secured in the name of the NRI,” said Majithia.
He added that NRIs could also adopt the net metering policy of PEDA in which they can generate their own electricity by installing solar panels on their rooftops when they are away. They can easily bank it with PSPCL and use it when they come back to India.
Majithia said India’s largest rooftop plant of 7.50 MW at Radha Soami Satsang at Beas (Amritsar) would be expanded to 31.5 MW which would make it the world’s largest rooftop PV plant. The minister also requested the managements of other religious place to install rooftop solar power plants on their premises.
Earlier, accompanied by education minister Daljit Singh Cheema the minister also launched a ‘State Energy Conservation and Efficiency Campaign’ at Lovely Professional University that aims at achieving energy saving of 20% in the domestic sector in five years. “Under the initiative, as many as 40 lakh school students would be made energy auditors over the next three years,” said Majithia.
He said that renewable energy is fast emerging as an emerging sector for NR’s due to investor-friendly policies of Punjab with more than Rs 1,500 crore worth of investment in solar energy fructifying in last three years with atotal generation capacity of 225 MW.
Under the current proposal, NRIs would get 5% enhancement per annum on their lease fee and this makes it a lucrative business proposal.
NRI remittance fee tax on Indians in Oman: No official communication from government
So far, the money exchange houses have not got any official communication from the Indian government regarding the move to impose goods service tax (GST) on remittance fee, a top official from a money exchange house in the region said.
“We have not got any official communication on the move to impose GST on remittance fee. No talks also have been held regarding this. The picture is still unclear. We don’t think that the GST will be imposed,” Adeeb Ahamed, chief executive officer of Lulu International Exchange, said.
He was talking on the sidelines of a function organized as part of relocating its Ruwi Branch today. The LuLu group provides foreign exchange and money remittance services to the Sultanate of Oman through its associate company – the Asia Express Exchange Company LLC.
Last October, the Indian government had brought money transfer from abroad also under the service tax net. Recently, there were reports that when the Indian government rolls out the reformed goods and services tax (GST) by April 1 next year, the tax rates will be increased to 27.54 per cent from the current 12.36 per cent, up by 120 per cent, and the burden will be passed on to the customers.
The revised tax rates were recommended by the National Institute of Public Finance and Policy, an autonomous society set up as a result of a joint initiative of the Ministry of Finance and other government bodies.
Non-resident Indians in Muscat have voiced their concern that if the government imposes the new GST on remittances, it will surely be a burden on them.
“Now, as per the current arrangement, we customers are not affected. But if the new GST is implemented and the government decides to impose the 27.54 per cent tax on remittances, we will be affected a lot. This will prompt people to look for other options and illegal money transfer may flourish,” Sunil Kumar KK, an NRI businessman, said.
“We have to wait and see whether the exchange houses will pass on the tax to their clients or not,” Sunil Kumar added.
Last December, the Indian cabinet approved the reformed GST and at present, it is tabled in the lower house of parliament.
Punjab has disposed off 70% NRI cases: Tota Singh
The Punjab Government has achieved major breakthrough by disposing off nearly 70% cases related to NRI’s in a limited time frame. It was disclosed by Punjab NRI’s Affairs Minister Jathedar Tota singh while reviewing the status of the pending NRI complaints.
He was amused at the working of the NRI cells that have been set up in every districts of the state. He instructed the officers to pull up their socks and dispose off the remaining NRI related complaints.
The NRI minister in this meeting which was attended by Mr. Rakesh Garg Chairman of NRI Commission, Mr. B. Purushartha, Commissioner NRIs and Mr. Sanjay Kumar Principal Secretary NRIs also instructed the officers to investigate all the civil and criminal cases related to NRIs and solve them at priority.
Jathedar Tota singh said that the NRI Sangat Darshan programme a unique initiative of the Punjab government has been very successful.
Divulging further detail he said that these programmes has provided a platform to the NRIs their they could bring their problems in the notice of the state government at their door steps.
He said that the government is committed to the welfare of their NRI brothers and all necessary steps would be taken to ensure the safety of their properties and lives.
British Indian MP Priti Patel appointed employment minister
British Indian MP Priti Patel has been appointed employment minister in Prime Minister David Cameron’s new cabinet, BBC reported on Monday.
Patel, 43, who comfortably won her Witham seat in England’s Essex county as a Conservative Party candidate in last week’s general elections by getting 57.5 percent of the total 47,339 votes cast, was in 2013 appointed the first ever UK Indian Diaspora Champion.
In July 2014, Priti was appointed as exchequer secretary to the treasury in a cabinet reshuffle.
First elected to parliament in 2010, Patel has a history of supporting campaigns for small businesses, transport infrastructure investment and affordable homes. The MP’s website describes her as “particularly interested in business, trade and ensuring that British businesses flourish”.
Her political beliefs, the website says, in this area “were formed around her own experiences in business, from assisting her parents who have run a number of small businesses around the South East and East of England, to her career in the communications industry, where she worked in corporate communications for a variety of international companies”.
Patel’s parents used to run a rural post office in Norfolk. Born in the London borough of Harrow, she became the Conservatives’ first female Asian MP when she won her Essex seat in 2010.
After entering Westminster in 2010, Patel has sat on the Tory party’s committee of backbench MPs, and joined the Number 10 policy board last year. She studied economics at Keele University and is married with a five-year-old son.
She is a staunch supporter of Indo-British friendship.
Speaking at the 13th Pravasi Bharatiya Divas in Gandhinagar, Gujarat, Priti said: “UK is keen to share with India its experiences in fostering government-industry partnership.”
She said that in Britain 1.5 million Indians are working and contributing to the British economy..
Record number of Indian-origin MPs elected to UK parliament
A record number of 10 Indian-origin candidates including Keith Vaz, Priti Patel and Infosys cofounder Narayana Murthy’s son-in-law were elected to the British parliament on Friday .
Prominent Labour candidates like long-serving MPs Keith Vaz (Leicester East) and Virendra Sharma (Ealing Southall) have won their respective seats, as they have a special connect with a largely Indian-origin electorate in their constituencies.
Ruling Conservatives’ Indian-origin stalwart, British Prime Minister David Cameron’s Indian diaspora champion Priti Patel also retained her Witham seat with a 41.5 per cent majority, winning 27,123 seats.
Opposition Labour’s Valerie Vaz also retained her Walsall South seat and Seema Malhotra won a her south west London seat comfortably.
The Infosys cofounder Narayana Murthy’s son-in-law Rishi Sunak, was contesting from the Tory safe seat of Richmond (Yorks) in the north of England and bagged 27,744 votes.
With his nearest opponent, Matthew Cooke of the United Kingdom Independence Party (UKIP), at a mere 8,194, his win marks an impressive 51.4 per cent majority to become a first-time MP in the House of Commons.
“I grew up watching my parents serve our local community with dedication. My dad is a NHS (National Health Service) family GP and my mum ran her own local chemist shop,” Sunak said.
Other Indian-origin winners include Alok Sharma (Reading West), Shailesh Vara (Cambridgeshire Northwest), another junior minister who has been an MP since 2005. First-timer Suella Fernandes (Fareham) for the Conservatives and a Labour novice Lisa Nandy (Wigan).
The overall tally of 10 Indian-origin MPs in the British parliament breaks the previous 2010 general election record of eight.
But it was not all smooth sailing for Indian-origin Tory candidates, with Paul Uppal losing by a narrow margin to Labour.
In the same Wolverhampton region, brother-sister duo Arun and Suria Photay also failed to make their first-time mark.
There were a total of 59 Indian-origin candidates in the fray from the Tories (17), Labour (14), Liberal Democrats (14), Green Party (4), United Kingdom Independence Party (UKIP) (3), independents (2) and one each from the smaller parties like All People’s Party, Christian Movement for Great Britain, National Liberal Party, Socialist Labour Party and Young People’s Party.
David Cameron, who looks set to return as prime minister, has repeatedly gone on record during the campaign claiming that he is confident that the country’s “first Asian or black prime minister” will come from his Conservative party.
The party had also fielded the first-ever Sikh candidate in Northern Ireland, Amandeep Singh Bhogal, but he failed to make any mark coming last with just 201 votes in a DUP stronghold.
Indian-origin voters have traditionally connected more with Labour due to its working class and immigrant friendly outlook, however these elections seem to indicate a strong shift in favour of the Tory party.
Source : Times of India