Your question: Can I invest in mutual funds through NRE account?

Can I invest from my NRE account?

NRIs can invest in mutual funds only through their NRO or NRE accounts. You need to invest in Indian Rupees (INR) and not in foreign currency. … Invest in mutual funds through the Systematic Investment Plan or SIP. It is a method of investing a fixed amount of money regularly in a mutual fund scheme.

Are mutual funds taxable for NRI?

Taxation rules for NRIs and residents of India are alike. For equity mutual funds, the investments made for 1 year or less will be taxed at 15% as per the short-term capital gains taxation rules. For long-term investments, the mutual funds are taxed at a rate of 10% as per the long-term capital gains taxation rules.

Can NRI invest through Groww?

No, Groww does not provide trading and investment services to NRI. Hence an NRI cannot open an account in Groww.

How much taxes do you pay on mutual fund withdrawals?

If you withdraw from your equity MF units after 12 months, the gain, called long term capital gain, will be taxed at 10%. It is important to understand that only gain is taxed.

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Is TDS deductible on mutual funds?

Units of a Mutual Fund as per Section 10(23D) Units from the Administrator. Units from a specified company at the time of credit of such income to the payee’s account exceeding Rs 5000 or at the time of making payment, whichever is earlier, shall deduct TDS @10%.

Are returns from mutual funds tax free?

Source of Income from Mutual Funds

Dividends received from funds are exempted from tax. A DDT of 25% is levied on non-equity-oriented schemes along with a 12% surcharge and 4%cess, making an effective DDT amounting to 29.12% for both resident Indians and NRIs.

Can I transfer INR to my NRE account?

You cannot transfer money to a NRE account from a savings account in India. However, you can transfer money from NRO to NRE account. You can also transfer money from one NRE account to another.

Which mutual funds are tax free in India?

Top 10 Tax Saving Mutual Funds in India

Funds 1-Year Returns (%) 5-Year Returns
Aditya Birla Sun Life Tax Relief 96 Fund Growth 19.3 23.5
Aditya Birla Sun Life Tax Plan Growth 18.9 22.6
DSP BlackRock Tax Saver Fund Growth 9 21
Axis Long Term Equity Fund Growth 18.1 24

Can I use Groww from abroad?

An NRI must complete the KYC process before starting investment in Indian mutual funds. For that, they need to submit a copy of your passport (only relevant pages with name), date of birth, photo and address. The current residential proof too is a must, whether temporary or permanent resident in that country.

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Which is better coin or Groww?

The bottom line. Despite its better customer support system, the Zerodha coin app is rated much lower (3.7) than the Groww app (4.6) on the Play Store, backing the Groww app to have a better set of features and a smoother interface.

How can I avoid tax on my NRO account?

The best way for an NRI to avoid paying a high TDS is to open a Non Resident Ordinary Rupee Account (NRO), a Foreign Currency Non Resident Account (FCNR) and a Non Resident External Account (NRE).