Readers
Questions/Answers Page
25
 Information
provided is for general knowledge only and should not be
deemed to be professional advice. For professional
advice kindly consult professional immigration advisors
or tax consultants depending on your personal situation.
This website is a one person operation, Please spell
check your questions as I normally just cut and paste
questions from emails. Answers to most questions asked
are usually posted within five days. Answers are posted
on this website and no personal emails are sent. |
Email questions to: V. K. Chand at:
question@nriinformation.com
Answers are normally posted in five days.
Q: Dear Mr. Chand,
My husband is an OCI holder & a citizen of the UK. He wants to
start a business of trading (may be importing some electronic
items from
neighboring foreign countries & exporting the same to another
European, American or other countries). Can he legally do such a
business under his proprietary concern or as a partnership with
other OCI holders or Indian nationals?
What are the kind of restrictions placed on him to do a business
in India?
Thanks & Regards,
Meera
A: As an OCI your husband should be
able to legally do business on his own or if he prefers, in
partnership with an Indian national or any other national. He
would of course have to follow the same rules applicable
to Indian nationals in setting up a business and comply with the
registration and tax requirements of the State in which the
business would be located in.
Many States also offer a number of incentives to set up new businesses which help the State create jobs in the State. OCI holders can also avail loans from banks to set up businesses in India. Normally under a well laid out business plan, your own investment can only be about 25% with 75% financing. A qualified accountant should be able to guide you in all aspects of setting up a business in India.
Income tax clearance certificate to leave
India 
Q: Hello If us citizen stays in India for more than 4 years & not working does that person require to submit clearance certificate while coming back to USA
Hemini Pandya
A: Any person who goes to India for the purpose of employment and has income from any source in India is required to provide an undertaking that all taxes have or will be paid. As regards to your question, whether you need a clearance certificate or not would depend on the type of visa you are currently using to stay in India since the last four years and the source of funds to live in India for the last four years if you did not work in India. There is always a possibility that when leaving India after a four year stay an officer checking your passport may question you on such matters.
On page 23 there is a question regarding how to get income tax clearance to leave India, do read this for more information.
Q: Hi
I am originally from India, I have recently become a British
citizen and I am due to surrender my Indian passport. Could you
please advise me on what happens to land that is already in my
name - it is farm land, will I have any problems selling?
Regards
Jay Akre
A: One does not automatically loose their
property by changing their citizenship status. You can sell your
farm land only to a person resident in India who is a citizen of
India. You cannot sell to an NRI or foreign national.
Q: Dear Mr. Chand,
All the information you gave is very helpful. I bought Big land
and 2 flats year 1996and one of my uncle helped us. we send
money but he destroyed all the documents just to put us in
trouble. Now the land price gone up and I want sell that land. I
have few good friends only but they do not know all the rules.
Please advice me what to do. also we have deeds but no document
that we send money from usa. I just got OCI.
Thank you.
Sutapa
A: The only advise I can give you is to try and settle this issue with your uncle. Trying to fight lawsuits in India that involve land disputes can turn out to be an expensive nightmare for those who live overseas. Relatives in India know this and tend to take advantage of this.
If you decide to pursue this matter legally, you should act fast and hire a lawyer for advise, cancel any power of attorney documents you may have sent your uncle and take steps with the property registrar office to stop the sale/transfer of the land in question without your knowledge.
OCI - PAN for foreign citizen
Q: Dear Mr V.K. Chand
My wife (Venezuelan citizen) got PIO card last year and we just
want to check if she can apply for OCI card and PAN card ?
And how much will be tax deduction in her case?
Thanks
Prashant Mehta
A: Foreigners located in India can apply for a Pan Card.
As far as applying for OCI is concerned she may not be able to apply for OCI. This question has been answered in detail on the previous page. Use the back link or use the link provided here: http://nriinformation.com/questions_24.htm
Your third question that refers to 'tax deduction in her case', I don't quite understand what you mean.
|
|
|