Free Tool · Estimates Only
NRI Rental Income
Tax Estimator
Renting out property in India while living in the US or Canada? Estimate your India TDS, tax liability, and what needs to be reported on your US/Canadian return — with DTAA double-tax relief calculated.
Estimates only — not financial or legal advice. Actual tax depends on specific deductions, filing status, DTAA elections, and state/provincial taxes. Always consult a qualified NRI tax specialist before filing.
Your Property Details
Tax Breakdown
🇮🇳 India Tax (ITD)
🇺🇸 US Reporting (IRS)
DTAA credit covers most or all foreign tax ✓
Exchange rates are approximate. State/provincial taxes not included. DTAA credit calculation is simplified — actual credits depend on treaty elections made on your return. Consult a qualified NRI tax specialist.
Why TDS is 30% for NRIs
Under Section 195 of the Income Tax Act, tenants paying rent to an NRI must deduct TDS at 31.2% (30% + 4% cess) before remitting. This is different from the 10% TDS that applies to resident Indians.
DTAA: India–US Treaty
The India–US Double Tax Avoidance Agreement (Article 6) ensures rental income is taxed in India first. You can claim a foreign tax credit on your US return for taxes already paid in India, preventing double taxation.
Getting TDS Refunded
If TDS deducted exceeds your actual India tax liability, you must file an Indian ITR-2 to claim the refund. A CA in India can file on your behalf — refunds typically process in 3–6 months.
Canada: Similar Treatment
Canada taxes worldwide income for residents. Indian rental income must be declared on your T1. The India–Canada DTAA provides similar relief, and you report the income on Schedule T2209 (foreign tax credits).
Need an NRI Tax Specialist?
File your India ITR, claim your TDS refund, and get your DTAA credit right. Our directory lists verified South Asian CPAs and NRI tax experts.