Property Law for NRIs | Buying, Selling, Inheriting Land in India”

Under the Foreign Exchange Management Act (FEMA), an NRI is an Indian citizen residing outside India for more than 182 days in a year for employment, business, or other purposes.

FEMA governs NRI property dealings, not just Indian property laws like the Transfer of Property Act or Registration Act.

✅ Permitted:

• Residential property (flats, houses)

• Commercial property (offices, shops)

❌ Not Permitted:

• Agricultural land

• Plantation property

• Farmhouses

➡️ But inheritance of agricultural land is allowed if received from an Indian citizen by will or succession.

✅ NRIs can inherit:

• Residential, commercial, agricultural, and ancestral property.

• Through a will or intestate succession (if no will).
  

  Relevant Laws:

  • Hindu Succession Act, 1956

  • Indian Succession Act, 1925

  
  

✅ NRIs can sell:

• Any property (except agricultural land unless inherited).

✅ Can gift to:

• Indian citizen or another NRI (subject to FEMA rules).

• Agricultural land can be gifted only to Indian citizens who are agriculturists.

⚠️ Capital Gains Tax applies while selling.