334. Transfer money to USA

from sale of property in India

Q: I am an OCI and US citizen. I bought a property in Mumbai for 13L in 1999 (12 years). 3L was down pmt ( Indian savings) and 9L was GIC loan. Loan was mostly repaid from money sent to NRO account but I also earned rent locally. Now, I want to sell the property (1 CR) and buy a primary residence in US. 1)Can I move all the proceeds to US? ( it was not bought from money sent from US) 2)Is RBI permission required? 3)Do I pay full capital gains tax in India even if I reinvest all gains in a primary residence in US? ( or can I get exemption as I get when reinvesting in India ) I have seen several responses but they are not clear. Nirav Jhala A. As more than ten years have elapsed since you bought the property, regards to your questions: 1. Yes, however the money from the sale proceeds must first be deposited in your NRO account. 2. No permission required, RBI has allowed authorized dealers to handle such transactions, all they have to do is ensure the procedure is followed as per RBI guidelines. 3. Capital gains can only be saved to some extent if money is invested in India.