An NRO account allows you to access and manage the income you earn in India. As an NRI, you may still earn from sources in India like rent from owned property in India, mutual fund dividends, pension, fixed deposit interest and other Indian investments. You can conveniently deposit income from all these sources into your NRO savings account. You can also repatriate up to USD 1 million in a financial year from this account to your country of residence.
Another feature of an NRO account is that you can deposit foreign currency into it. The amount gets auto-converted into INR. You can also withdraw from an NRO savings account in Indian rupees.
If you open an NRO account with DBS Treasures, you can manage it online from anywhere across the world. You also have access to several unmatched privileges to bring you the best in NRI banking.
Earn up to 3.5% interest p.a. on your NRO savings account
Get preferential rates on your remittances
40+ exclusive privileges with DBS Treasures account
While NRO accounts are not exempt from tax, account holders can avoid paying double taxes, thanks to the Double Taxation Avoidance Agreement (DTAA). If you are an NRI, any income you earn in India will be taxed by the Indian government. However, you may also have to pay taxes on the same income in your country of residence. The Reserve Bank of India (RBI) has entered into a DTAA with several countries, as a result of which you can avoid paying double taxes.
As per the DTAA signed between India and several other countries, you only have to pay taxes once, at a rate fixed by the agreement. Therefore, if you as an NRI have earned income in India, the tax you have to pay will depend on the rates specified in the DTAA with the country in which you live currently.
India has entered into a DTAA with several countries where Indians are present in overseas. Here are the taxes you have to pay, according to the country you live in:
|Country (in alphabetical order)||DTAA TDS rate|
|United Arab Emirates||12.50%|
|United States of America||15%|
The following individuals are eligible to open an NRO Savings Account:
For PIO (Person of Indian Origin)
Your DBS Treasures NRO account is maintained in Indian rupees.
A DBS Treasures account can be opened with INR 5 lakhs. However, the Total Relationship Value (TRV) must grow to a minimum of INR 30 lakhs in 6 months. The Total Relationship Value (TRV) is across all accounts in a family and calculated by aggregating average quarterly savings account balances and end of period term deposits, insurance, investments and mortgage loan outstanding. 40% of the net balance of the loan (Home Loan / LAP) will be considered towards TRV computation.
Interest on savings is paid at quarterly intervals each year, i.e., on 31st March, 30th June, 30th September and 31st December of every year. This may be subject to change.
You can use your NRO savings account for sums earned from income sources in India such as rent from property, interest from fixed deposits, mutual fund dividends, income from pension and so on.
Yes, you may repatriate funds from your NRO savings account. However, this is subject to a maximum of USD 1 million or its equivalent in a financial year. The funds can be repatriated out of the deposits in the account. You can also repatriate income earned from sale proceeds of any assets acquired through inheritance, as long as you can produce documents supporting the inheritance claim.
Savings parked in the NRO account are subject to tax deduction at source.
Yes, you can open an NRE account by transferring funds from NRO accounts.
Yes, you can access your NRO account while you are abroad through DBS internet or mobile banking services.