Information and tips (guidance) for NRIs in Australia — 2026

Australia hosts roughly 1 million people of Indian origin, including around 800,000 Indian-born residents — one of the fastest-growing migrant communities in the country, concentrated in Sydney, Melbourne, Brisbane, Perth and Adelaide. The framework for Australian NRIs has a few characteristic features: tax residency is decided by four ATO tests, superannuation is locked away until preservation age but can be released as a Departing Australia Superannuation Payment under specific rules, and the India-Australia ECTA has reshaped the mobility-of-professionals corridor.

Two tax systems, two residency tests

Indians in Australia deal with two parallel tax frameworks.

Australian tax residency — the four ATO tests

The ATO applies four tests in sequence; meeting any one makes you a tax resident:

Resides test (primary) — physical presence and intention to stay; based on lifestyle, family, and work pattern.
Domicile test — your domicile is in Australia and the ATO is not satisfied that your permanent place of abode is outside Australia.
183-day test — physically in Australia for more than half the income year (1 July to 30 June), unless the ATO is satisfied you have a usual place of abode abroad and no intention of taking up residence.
Superannuation test — captures Australian Government employees posted overseas.

Australian tax residents are taxed on worldwide income at marginal rates from 0% to 47% (including Medicare levy).

Indian tax residency for the same person

Under the Income Tax Act, you are an NRI if you spend less than 182 days in India in a financial year (1 April to 31 March).
A 120-day rule applies if you are an Indian citizen / PIO with ₹15 lakh or more of Indian-source income — staying 120 to 181 days in India can make you Resident but Not Ordinarily Resident (RNOR).

Tip: The Australian financial year is 1 July to 30 June — different from both the Indian (April-March) and the calendar year. When timing returns or large transactions, map out both years on a single timeline so you do not accidentally trigger residency in either direction.

The India-Australia DTAA and ECTA

DTAA

The double-tax treaty between India and Australia has been in force since 1991 with the 2013 protocol updating several articles. Key points:

Salary income earned in Australia is taxed in Australia; the same person filing in India as an NRI does not pay Indian tax on Australian salary.
Indian-source income (rent, NRO interest, capital gains on Indian shares) is taxable in India; foreign tax credit is claimed on the Australian return.
Dividends from Indian companies to Australian residents are subject to 15% withholding under the DTAA.
Pensions under Article 18 — Australian government pensions and superannuation lump sums to Indian residents follow specific tie-breaker rules.

To claim DTAA benefits in India you need a TRC from the ATO and Form 10F filed online on the Indian tax portal.

ECTA

The India-Australia Economic Cooperation and Trade Agreement (ECTA) entered into force in December 2022 and reshaped the mobility-of-professionals corridor:

Streamlined post-study work rights for Indian graduates of Australian universities.
Mutual-recognition pathways for chefs, yoga instructors, accountants and other categories.
Smoother intra-corporate transferee routes for Indian IT services workers.

The ECTA does not change tax residency or DTAA mechanics — it is a trade and mobility instrument layered on top.

See the India-Australia DTAA framework.

Superannuation — the locked-away pension

Australian superannuation is compulsory and accumulates during your working years. The 2026 super-guarantee rate is 11.5% of ordinary time earnings. Key rules for Indians heading back:

Super is normally preserved (locked) until your preservation age (60 for those born 1 July 1964 or later) and until you meet a condition of release (retirement, etc.).
Departing Australia Superannuation Payment (DASP) — if you are on a temporary visa that has expired or been cancelled and have left Australia, you can withdraw your super. Tax on DASP is high — 35% on taxed elements (and 45% on untaxed elements) under current rates — and the rate has historically risen.
Permanent residents and citizens generally cannot use DASP and must wait for normal preservation conditions. Returning to India does not unlock super for this group.

Tip: If you held permanent residency / citizenship and built up super over many years, consolidate funds before departure, choose a low-fee fund that does not levy non-resident-member fees, and review the insurance components inside the super — they often lapse on non-resident status, leaving the wrapper paying for nothing.

Banking — what to open in India

NRIs in Australia typically run three Indian rupee / foreign-currency accounts:

NRE (Non-Resident External) — fully repatriable, interest tax-free in India.
NRO (Non-Resident Ordinary) — for Indian-source income. Interest is taxable with TDS at 30% unless DTAA relief is claimed via Form 10F + TRC. Repatriation capped at USD 1 million per FY.
FCNR (Foreign Currency Non-Resident) deposit — fixed deposits in AUD, USD, GBP and other major currencies for 1-5 years. Interest is tax-free in India.

Indian banks with Australian presence: ICICI Bank Australia (ADI / restricted licence), Bank of Baroda Australia, Indian Overseas Bank, State Bank of India. Most NRIs also use the four major Australian banks (CBA, ANZ, NAB, Westpac) for day-to-day Australian banking.

Tip: Onboard an Indian NRE / NRO online with HDFC, ICICI, Kotak, Axis or SBI before the first remittance — the Indian bank's NRI portal is the natural front-end, and the Australian-side bank just sends the wire / app transfer.

See NRI bank accounts in India for the detailed comparison.

AUD-to-INR — the remittance corridor

AUD-to-INR is a competitive corridor with strong app-based options. The realistic options in 2026:

Wise — transparent mid-market FX with a small upfront fee. Default for most under-AUD 50,000 transfers.
OFX — Australian-headquartered; competitive large-amount rates and dedicated phone support for AUD 100,000+ transfers.
Remitly — promotional rates and large Indian-bank network.
ICICI Money2India and SBI Express Remit (FX-Out) — Indian-bank corridors.
CBA / ANZ / NAB / Westpac International Money Transfer — bank wires; expensive on the FX margin but acceptable for very large transfers.

Tip: OFX is often overlooked but is competitive for transfers in the AUD 50,000-500,000 band — useful when sending property purchase funds back to India. Wise is generally better below that threshold.

See transferring money to India.

Investing in India from Australia

Australian-resident NRIs can hold:

Indian listed equities through a PIS account — capital gains taxed in India.
Indian mutual funds — most AMCs accept Australian- resident NRI subscriptions without restriction.
NPS — open to NRIs.
Real estate (residential / commercial; not agricultural).

Australian tax residents must report foreign income on their Australian return, with foreign tax credit available for Indian tax paid.

Buying property in India from Australia

Same rules as elsewhere — residential and commercial only, funds via NRE / NRO / FCNR, USD 1 million repatriation cap. Home loans from Indian banks are widely available; most have NRI desks in Sydney and Melbourne.

See property tax for NRIs and transferring funds for property.

OCI for Australian citizens of Indian origin

If you (or your parent / grandparent / great-grandparent) held an Indian passport, you are eligible for an OCI card.

Australian-specific points:

The Australian pipeline runs through VFS Global. Centres in Sydney, Melbourne, Perth, Brisbane and Canberra act on behalf of the High Commission of India, Canberra and consulates in Sydney, Melbourne, Perth and Brisbane (Brisbane consulate opened recently).
Apply online at ociservices.gov.in, then submit documents physically at the VFS centre serving your consular jurisdiction.
Spouse-category OCI requires two years of registered marriage.
OCI re-issue required only on the under-20 and first-passport-after-50 milestones.
A Surrender Certificate is required for former Indian citizens who took Australian citizenship on or after 1 June 2010, before they can apply for OCI.

See the OCI application guide.

FATCA, CRS and Australia-India information sharing

Both Australia (ATO) and India (CBDT) are signatories to the OECD Common Reporting Standard. Australian banks file annually to the ATO on accounts held by non-residents and persons with foreign tax residency; the ATO exchanges that data with India. The reverse is also true.

Practical implications:

Declare your Australian accounts in the Indian ITR's Schedule FA if and when you become an Indian tax resident again.
Mismatches between what you declare and what is reported under CRS are flagged automatically.

Returning to India — the Australia-specific timing trap

The single most common error among Australia-based NRIs returning to India long-term:

Cashing out superannuation as DASP (where eligible), liquidating Australian shares, and remitting the proceeds all in the same Indian financial year as the move back, after Indian tax residency has already kicked in — losing the RNOR shelter on what is now-Indian-taxed foreign income.

Plan the timing so:

DASP (where eligible) is processed and remitted while you are still NRI or in the RNOR window.
Australian share sales are paced; consider whether Australian CGT or Indian CGT is the more efficient jurisdiction at the time of sale.
The 30-June Australian year-end and 31-March Indian year-end are mapped on a single calendar so the cleanest split is achieved.

The RNOR window typically gives 2 to 3 years of foreign-income exemption after return — see returning to India.

Quick-reference checklist

Topic	What to do
Australian tax residency	Confirm which ATO test you fall under; document permanent place of abode if leaving.
DTAA	TRC from ATO + Form 10F for India-side withholding relief.
Superannuation	Consolidate before departure; review insurance; understand DASP eligibility.
Bank accounts	NRE for AUD-source money; NRO for Indian-source; FCNR for AUD / USD deposits.
Remittance	Wise for under AUD 50,000; OFX for larger transfers.
Investments	Indian equities via PIS; mutual funds direct.
Property	Residential / commercial only; funds via NRE / NRO; USD 1 M / FY repatriation cap.
OCI	Apply through VFS Sydney / Melbourne / Perth / Brisbane / Canberra.
Returning	Time DASP and Australian share liquidations to NRI / RNOR years; map AU 30-June and IN 31-March year-ends together.

A note on what this article is — and is not

General guidance, not professional advice. This page is a practical orientation hub for NRIs in Australia; it is not tax, legal, or financial advice. Australian tax rules — particularly the four ATO residency tests, the superannuation preservation / DASP mechanics, and the interaction between the 30 June Australian year and 31 March Indian year — turn on facts that vary case by case. Verify the current position with a qualified Indian Chartered Accountant and an Australian tax agent familiar with India- Australia cross-border issues before acting on anything material.

Where to go next

NRI bank accounts in India.
Transferring money to India.
India-Australia DTAA.
NRI tax residential status.
OCI application guide.
Immigrating to Australia.
Returning to India — the RNOR framework.
Property tax for NRIs.
NRIs in USA, NRIs in Canada, NRIs in Singapore, NRIs in UAE — sister hubs.