Complete Guide to Filing Income Tax Returns in India for NRIs

Accurate filing of Income Tax Returns (ITR) is essential for Non-Resident Indians (NRIs) to remain compliant with Indian tax laws and avoid penalties. For the Financial Year (FY) 2024-25, which corresponds to Assessment Year (AY) 2025-26, the ITR filing deadline without late fees is 31st July 2025.

Understanding FY and AY

• Financial Year (FY): This refers to the year in which income is earned – from 1st April 2024 to 31st March 2025.

• Assessment Year (AY): This is the year when the income earned in the financial year is assessed for tax – in this case, 2025-26 for FY 2024-25.

Essential Documents for ITR Filing

NRIs should collect the following documents before filing their return, tailored to their income and situation:

1. KYC Documents

• PAN Card – Required for tax filing

• Aadhaar Card – Optional for NRIs

• Passport – Both sides, to determine residential status based on India visit dates

2. Income Tax Portal Access

• Login credentials for Income Tax e-Filing website

• If unregistered, create an account using your PAN

• Reset your password if forgotten

3. Address Details

• Provide a valid Indian or foreign address with the correct PIN code on the portal

4. Bank Account Statements (FY 01.04.2024 – 31.03.2025)

• NRO account (Mandatory)

• NRE and FCNR account (Optional, if applicable)

5. Income Information

• Salary earned in India (include Form 16)

• Rental income (rent receipts and agreements)

• Interest from NRO accounts (Form 16A and statements)

• Capital gains (from shares, mutual funds, real estate, PMS)

• Dividends or other income received in India

6. Investment & Deduction Proofs

• Section 80C (LIC, ELSS, PPF, NSC, etc.)

• Home Loan Interest under Section 24(b)

• Health insurance premiums (Section 80D)

• Education loan interest (Section 80E)

7. Real Estate Tax Documents (If applicable)

• Property sale deed

• TDS certificate (Form 16B) issued by the buyer

• Lower TDS certificate (if obtained under Section 197)

• Capital gains calculations

8. Foreign Assets & Income (Only for Residents)

• Foreign bank accounts

• Income from overseas business/employment

• Investments in foreign mutual funds, real estate, or stocks

9. TDS and Income Reporting

• Check Form 26AS for tax deducted

• Match details with AIS and TIS reports available on the portal

ITR Filing Process for NRIs

1. Collect all relevant documents as per your situation using the checklist mentioned earlier.

2. Log in to the Income Tax e-filing portal at incometax.gov.in and choose the appropriate ITR form – typically ITR-2 or ITR-3, depending on your income types.

3. Enter all necessary details, including your income, deductions, tax liabilities, and payments.

4. Cross-check your Form 26AS and AIS/TIS reports to ensure all income and TDS entries are correctly reflected.

5. Submit your ITR before the due date – 31st July 2025 – to avoid interest and penalties.

6. E-verify your return using Aadhaar OTP, internet banking, or a digital signature certificate (DSC), depending on availability.

Final Thoughts

Filing your tax return properly not only fulfills your legal duty but also minimizes the risk of receiving notices from the tax department later. This guide offers a broad outline—NRIs should determine which requirements apply specifically to their case.

If you require professional help with NRI tax filing, lower TDS certificate applications, or foreign remittances, reach out to our experts for end-to-end support.

Disclaimer: The content on this website is for informational purposes only and does not constitute legal, financial, or professional advice. Please consult qualified experts before acting on any information. K M GATECHA & CO LLP accepts no liability for errors, omissions, or outcomes from the use of this content. This site is not an advertisement or solicitation.