NRI shares taxation

Sir, I have one doubt relating to transfer of shares by NRI

If there is one NRI use his NRO a/c to purchase of shares in India and proceeds of shares also deposited in his NRO A/c I. e. Transfer and acquisition takes place in Indian currency.

Then the first proviso of sec 48 shall apply or not...?
Replies (3)
Quick Summary
This discussion clarifies the tax implications for Non-Resident Indians (NRIs) selling shares in India. It specifically addresses whether the first proviso of Section 48 of the Income Tax Act applies when shares are purchased and sold using an NRO account, with transactions conducted in Indian currency. The consensus is that capital gains will be computed accordingly under Section 112, with differing opinions on the applicability of the proviso based on currency used for purchase and sale.

Yes. compute capital gains accordingly under section 112
Yes capital gains will be computed
No you can't ,for first provision of section 48 u have to purchase and sell share only in foreign currency

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