Leaving India - fund repatriation and bank account closing
maywen
India > Community Forums > India Expat Area
#1
| Member

Leaving India - fund repatriation and bank account closing

Hi everyone,

I am a french national leaving India after 5 years of employment. I have a few lakhs on my SBI saving account and I am expecting to receive my PF a couple of months after my departure.

I came to understand that i need to re-designate my saving account into a NRO account, which i believe is under process (even though it is difficult to get any update on this from my SBI local branch...).

But I also came to understand that such account does not allow any payment in other currency than INR (meaning that i won't be able to access my money with my ATM card abroad), and that it needs to be closed within 6 months from departure.

Therefore, i need to find a solution to repatriate my funds before the end of the year.

To do so, i found out that NRIs need to use the services of a chartered accountant to obtain forms 15 CA and 15 CB before submitting the request for outward remittance to my bank. But, this means that i basically need to come back to India to make the money transfer (yes, because i also found out that there is no online facility for international transfer for foreign nationals).

I have been searching information on this forum and on other websites, but I do not manage to find clear answers in the case of foreign nationals (it usually applies to NRIs).

I see 3 possible solutions:

1. assuming that my bank figures out how to redesignate my account into a NRO account, I need to come back to India within 6 months to apply for outward remittance, possibly with forms 15CA and 15CB, assuming that they are indeed needed for foreign national leaving the country.

2. if my bank doesn't figureout how to redesignate my account, i suppose that i can just come back within 6 months and apply for normal outward remittance, without forms 15CA and 15 CB.

3. if i am stuck, use an indian friend, transfer my money onto his account, and then ask him to transfer my money to my french account. But this may have some consequences in terms of income tax for both him and me.

Did anyone experience this situation? Your advices will be very much appreciated!!

Thanks in advance,

20 Replies

#2
| Maha Guru Member
How few is a few lakhs, can't you covert as much as possible into travellers cheques.

As for your provident fund not sure what to suggest.
Lord, Grant me the Serenity to accept the things I cannot change, the courage to change the things I can, and the wisdom to hide the bodies of those people I had to kill because they pissed me off.
#3
| Maha Guru Member
once its tourist season in Goa offer a very good rate to travellers for their £,$ or euro's and take your money out that way.
#4
| Maha Guru Member

Originally posted by: dan bushell View Post

once its tourist season in Goa offer a very good rate to travellers for their £,$ or euro's and take your money out that way.


There is a limit as to how much currency you can take out of the country.
Lord, Grant me the Serenity to accept the things I cannot change, the courage to change the things I can, and the wisdom to hide the bodies of those people I had to kill because they pissed me off.
#5
| Member
Thanks for your replies!
However, the amount will be too high to convert into traveler's cheques (about 10 lakhs). I am looking for a way to transfer the money out of India via my bank.
thanks again
#6
| Maha Guru Member
Beside your NRO account you need an NRE account which you can open by depositing some small amount (depends on the bank) in foreign exchange. If your bank is one of the upmarket ones they might have a high minimum deposit. When the ICICI quoted an exorbitant sum I went next door to the Syndicate Bank (a Govt. of India Undertaking since 1969) and opened one by making an initial deposit of €50 (if I remember correctly the minimum was much lower - the equivalent of Rs 1000 - but I didn't have any lower denomination on my person).
This entitles you to a debit-card (VISA or Master) that can be used anywhere in the world. Get in touch with a chartered accountant and ask him to prepare the 15 CA/B forms without specifying the sum. Once you know the balance in your NRO account ask the CA to fill it into the form and instruct the bank to transfer this sum from your NRO to your NRE account. You should also ask for an online banking facitlity which you can use for transferring funds from your NRE account to your overseas account.
#7
| Senior Member
Maiwenn,

Je te conseille de faire un tour sur ce site web : www.xendpay.fr . Tu auras des réponses à toutes tes questions. BIEN lire le FAQ avant de te lancer.

A lire également : http://etudier-voyager.fr/2012/12/comment-rapatrier-son-argent-france-virements-en-devises-etranger/

PS: Je ne travaille pas pour xendpay!!!!

Cdlmnt

BK

....et nous dire si ça fonctionne !!!
#8
| Maha Guru Member
Here's an English lesson for you: http://www.shakespeare-online.com/plays/henryv_3_4.html. And it's Agincourt, not Azincourt!
#9
| Member
Hi Golghar,

Thanks for your reply... however, the opening of a NRE account is, apparently, not allowed to foreigner... [cry]
#10
| Member
Hi Beesakopie,
will check this out, thanks!
#11
| Senior Member
No problemo ... Hope it is of help. cheers.
#12
| Loud Noisy Bird

Originally posted by: maywen View Post

... not allowed to foreigner... [cry]


A lot of these restrictions are according to residence status, rather than nationality/citizenship. Bank staff may not always understand the difference.

About NRE accounts... I don't know.
~
Life gets aadhar every day.
.
#13
| Member
Hello,

Thanks to all your comments and suggestions, I tried to dig for more information, but things are still a bit confused...

I managed to fix my PF issue with my company (I think and hope...), which means that I will not have such a big amount to repatriate after all, but I am still expecting a few dues from my company after my departure, which means that I cannot close my account before leaving.

In this case, what would you suggest?

Another concern I am having is about the payment of taxes for the current fiscal year. As I still qualify as an ordinary resident for the current fiscal year, I need to fill an Indian tax return in April 2016 and I anticipate that I will have to pay some amount to the Income Tax Department. If I close my Indian account in September 2015, will it be possible for me to pay my taxes in April - May 2016 from a foreign account? There doesn't seem to be any provision for this on the etax website...

What is your experience of payment of Indian taxes from abroad?

Thanks again!
#14
| Maha Guru Member

Originally posted by: Golghar View Post

Beside your NRO account you need an NRE account which you can open by depositing some small amount (depends on the bank) in foreign exchange. ...

This entitles you to a debit-card (VISA or Master) that can be used anywhere in the world. Get in touch with a chartered accountant and ask him to prepare the 15 CA/B forms without specifying the sum. Once you know the balance in your NRO account ask the CA to fill it into the form and instruct the bank to transfer this sum from your NRO to your NRE account. You should also ask for an online banking facitlity which you can use for transferring funds from your NRE account to your overseas account.


Perfect. Perfect!


Originally posted by: maywen View Post

... however, the opening of a NRE account is, apparently, not allowed to foreigner... [cry]


Rubbish. A NRE (Non-Resident External) account is available ONLY to foreigners. Indian nationals cannot open one. I have both NRE and NRO accounts at the same bank.


Originally posted by: maywen View Post

Hello, ...

Another concern I am having is about the payment of taxes for the current fiscal year. As I still qualify as an ordinary resident for the current fiscal year, I need to fill an Indian tax return in April 2016 and I anticipate that I will have to pay some amount to the Income Tax Department. If I close my Indian account in September 2015, will it be possible for me to pay my taxes in April - May 2016 from a foreign account? There doesn't seem to be any provision for this on the etax website...

What is your experience of payment of Indian taxes from abroad?

Thanks again!


Consult a CA (Chartered Accountant). Once your tax dues are paid you are entitled to repatriate your money abroad.
#15
| Senior Member
Mates :

I think Maywen CANNOT open a NRE account as he is a French Passport holder with an Employment visa. ONLY Non-resident Indians, PIO and OCI cardholders can open NRE accounts.

Double taxation for foreign workers is a common feature world-wide!!!!

For Maywen :

Options:

- Try to ask your company to send you your PF amount into your foreign bank account. You can tell them that you are leaving in September and you will not have an account in India available. (Ofcourse, you will have to declare this amount here ...)

- For payment of Indian Income tax, ofcourse it should be possible to pay from a foreign bank account, but you need to ask someone from the Income Tax office to help you with this.

I think this may be of help to you :

http://www.impots.gouv.fr/portal/deploiement/p1/fichedescriptive_1878/fichedescriptive_1878.pdf

c'est un peu long mais indispensable!

cheers