Repatriation of pension income from India

Procedure to repatriate pension & information for NRI pensioners

Pensioners who are currently receiving pensions in India and move abroad permanently or acquire foreign citizenship can have their pension sent abroad to them. The Reserve Bank of India (RBI) requires that  a certificate from a chartered accountant be submitted to the bank to allow repatriation of many types of funds, however NRIs/PIOs who do not have a NRO bank account and have no taxable income in India need not submit a Chartered Accountant’s certificate for remitting their current income like dividend, rent, pension, interest etc. [A.P. (DIR Series) Circular No.26 (September  28, 2002)] Pensioner should notify their pension paying bank branch that he/she has become a non-resident. The bank on such notification should convert the pensioner’s resident bank account to a non-resident bank account (NRO). Once a year in the month of November, the pensioner has to furnish the life certificate issued by an authorized official of the Embassy/High Commission of India or Consul of Indian Consulates or a Notary Public or an Officer of an Indian Authorized Bank [for example SBI bank abroad] This is a simple procedure and Indian consulates abroad usually require a short visit by the pensioner to attest this type of document. Depending on the type of pension being received, as per the pensions prescribed scheme other certificates may be required. Check your pension plan to see if any additional certificates are also required. Generally they would be the same documents that a pension in India would also have to periodically submit.  [For instance non-employment/re-employment certificate, Re-marriage/Marriage certificate] Pensioners bank branch should credit the amount of pension due every month to the Non-resident Ordinary Account (NRO) of the pensioner. Pension credited to a pensioner’s NRO bank account may be remitted by the bank to pensioner outside India on their instructions. By debit from their NRO bank account or credit to their NRE bank account. In the event a non-resident pensioner acquires foreign citizenship, their entitlement to pension is generally not affected and should continue to receive their pension benefit. [Source: http://www.pensionersportal.gov.in] An excerpt from RBI circular No.26 dated September 28, 2002 is provided below: It is, therefore, clarified that such NRIs/PIOs who do not maintain NRO Account and have no taxable income in India need not submit a Chartered Accountant’s certificate for remitting their current income like dividend, rent, pension, interest etc. In such cases Authorised Dealers may obtain a simple declaration, in duplicate, from the NRIs/PIOs to the effect that he/she is not a tax payer in India. The Authorised Dealer may retain such declaration with them for future reference from Income Tax Authorities, if any. To view RBI notification Click Here  Kindly note that the chartered accountant certificate not required is only if the income is NOT subject to tax in India. If taxable then CA certificate Form 15CA etc. will apply.

Form A2 Requirement

Form A2 is a required by the government of India to be filled by those who are sending/transferring money abroad. It is a simple form where basically the person transferring money abroad fills in information related to the transfer. Such as senders details, currency amounts and detail, who the money is being sent to etc.

FEMA Declaration

This is a short form that basically requires the person sending money abroad in foreign exchange to certify that he/she is purchasing foreign currency for the purpose of remitting abroad and is in compliance of current RBI regulations Generally both Form A2 & FEMA declaration are combined. Depending on the bank in India that you deal with, they may have their own versions customized for their bank but the information to be filled in is generally the same. To view sample of Form A2 & Declaration Form Click HERE  
Disclaimer: Information provided is for general knowledge only and should not be deemed to be professional advice. For professional advice kindly consult a professional accountant, immigration advisor or the Indian consulate. Rules and regulations do change from time to time. Please note that in case of any variation between what has been stated on this website and the relevant Act, Rules, Regulations, Policy Statements etc. the latter shall prevail. © Copyright 2006 Nriinformation.com
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Update: Form 15CA - Form15CB May Not be required When sending money abroad in some cases Form 15 may not be required as rules have changed. Effective April 1, 2016. Earlier these forms were compulsory when remitting funds out of India, now under new rules the forms have been simplified and the requirement for submission of these forms in some circumstances has been eliminated
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Disclaimer: Information provided is for general knowledge only and should not be deemed to be professional advice. For professional advice kindly consult a professional accountant, immigration advisor or the Indian consulate. Rules and regulations do change from time to time. Please note that in case of any variation between what has been stated on this website and the relevant Act, Rules, Regulations, Policy Statements etc. the latter shall prevail. © Copyright 2006 Nriinformation.com
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Repatriation of pension

income from India

Procedure to repatriate pension &

information for NRI pensioners

Pensioners who are currently receiving pensions in India and move abroad permanently or acquire foreign citizenship can have their pension sent abroad to them. The Reserve Bank of India (RBI) requires that  a certificate from a chartered accountant be submitted to the bank to allow repatriation of many types of funds, however NRIs/PIOs who do not have a NRO bank account and have no taxable income in India need not submit a Chartered Accountant’s certificate for remitting their current income like dividend, rent, pension, interest etc. [A.P. (DIR Series) Circular No.26 (September  28, 2002)] Pensioner should notify their pension paying bank branch that he/she has become a non-resident. The bank on such notification should convert the pensioner’s resident bank account to a non- resident bank account (NRO). Once a year in the month of November, the pensioner has to furnish the life certificate issued by an authorized official of the Embassy/High Commission of India or Consul of Indian Consulates or a Notary Public or an Officer of an Indian Authorized Bank [for example SBI bank abroad] This is a simple procedure and Indian consulates abroad usually require a short visit by the pensioner to attest this type of document. Depending on the type of pension being received, as per the pensions prescribed scheme other certificates may be required. Check your pension plan to see if any additional certificates are also required. Generally they would be the same documents that a pension in India would also have to periodically submit.  [For instance non- employment/re-employment certificate, Re- marriage/Marriage certificate] Pensioners bank branch should credit the amount of pension due every month to the Non-resident Ordinary Account (NRO) of the pensioner. Pension credited to a pensioner’s NRO bank account may be remitted by the bank to pensioner outside India on their instructions. By debit from their NRO bank account or credit to their NRE bank account. In the event a non-resident pensioner acquires foreign citizenship, their entitlement to pension is generally not affected and should continue to receive their pension benefit. [Source: http://www.pensionersportal.gov.in] An excerpt from RBI circular No.26 dated September 28, 2002 is provided below: It is, therefore, clarified that such NRIs/PIOs who do not maintain NRO Account and have no taxable income in India need not submit a Chartered Accountant’s certificate for remitting their current income like dividend, rent, pension, interest etc. In such cases Authorised Dealers may obtain a simple declaration, in duplicate, from the NRIs/PIOs to the effect that he/she is not a tax payer in India. The Authorised Dealer may retain such declaration with them for future reference from Income Tax Authorities, if any. To view RBI notification Click Here  Kindly note that the chartered accountant certificate not required is only if the income is NOT subject to tax in India. If taxable then CA certificate Form 15CA etc. will apply.

Form A2 Requirement

Form A2 is a required by the government of India to be filled by those who are sending/transferring money abroad. It is a simple form where basically the person transferring money abroad fills in information related to the transfer. Such as senders details, currency amounts and detail, who the money is being sent to etc.

FEMA Declaration

This is a short form that basically requires the person sending money abroad in foreign exchange to certify that he/she is purchasing foreign currency for the purpose of remitting abroad and is in compliance of current RBI regulations Generally both Form A2 & FEMA declaration are combined. Depending on the bank in India that you deal with, they may have their own versions customized for their bank but the information to be filled in is generally the same. To view sample of Form A2 & Declaration Form Click HERE  
A Book for NRIs PIO & OCI Information at your fingertips!
Available worldwide from Amazon
Free delivery with Amazon Prime
nri guide v k chand
Update: Form 15CA - Form15CB May Not be required When sending money abroad in some cases Form 15 may not be required as rules have changed. Effective April 1, 2016. Earlier these forms were compulsory when remitting funds out of India, now under new rules the forms have been simplified and the requirement for submission of these forms in some circumstances has been eliminated
More info >>