Foreign income, RSUs and ESOPs
For residents holding foreign shares through an employer plan, and for non-residents with Indian assets — the disclosure and credit rules that carry the heaviest penalties for getting them wrong.
19 articles · written and reviewed by CA K Sanjay Bhargav, Chartered Accountant
Cornerstone guide
NRI Selling Property in India: The Tax, and How to Cut It
The exemptions are not restricted to residents. What defeats them is timing — almost every one has to be set up before the sale deed, not discovered at the return.
Cornerstone guide
Form 15CA/15CB Is Now 145/146: When You Need a CA
Banks ask for a CA certificate on every remittance. It is required on one of four parts, above Rs 5 lakh and only where the sum is taxable. Which part is yours.
Cornerstone guide
FAST-DS 2026: Window Open Until 31 December
The window opened on 16 August 2026 and closes on 31 December. Foreign assets you never reported settle at 60% of value against the 120% the Black Money Act charges — or a flat ₹1 lakh on narrower facts.
Foreign Assets Disclosure Scheme: Form 1 Is Now Live
Until now the scheme existed and the form did not. It is on the portal now — and the rules behind it carry a payment clock and a valuation tolerance that most summaries leave out.
Can an NRI Use FAST-DS 2026?
Yes, if you were resident in India in the relevant earlier year. Section 131 covers non-residents expressly — current residence is not the test.
The FAST-DS Rs 5 Crore Cliff: Who Cannot Use It
Above Rs 5 crore the scheme is not available at all — there is no higher charge and no option to declare part of it. The Rs 1 crore ceiling works the same way.
How FAST-DS Values a Foreign Bank Account
Not the balance and not the peak. Every deposit from the day the account opened to 31 March 2026 — which is why a near-empty account can carry a large value.
Form 67 and Form 44: Claiming Foreign Tax Credit
Form 67 covers AY 2026-27; Form 44 takes over from tax year 2026-27. The deadline, the documents, and why the credit is capped below what was withheld.
NRE, NRO and FCNR: What Each Account Is Actually Taxed On
NRE and FCNR interest is exempt while you are non-resident. NRO interest is not, and is deducted at source. What changes the day you move back.
Does an NRI Have to File a Return in India, and Which One?
There is a narrow carve-out where TDS is treated as final. Outside it, filing is required — and filing voluntarily is often worth it anyway.
Selling Inherited Property in India as an NRI
Inheritance itself is not taxed. The sale is — and the cost and holding period step back to the person you inherited from, which usually helps.
The RNOR Window: Plan It Before You Book the Flight
Returning NRIs get a transitional status where foreign income stays outside the Indian net. It turns on day counts, and the date you arrive decides it.
Schedule FA from Fidelity, Schwab or Morgan Stanley
Whichever platform holds your RSUs, Schedule FA needs the same five figures. What to download, the period that catches everyone, and the three errors.
TRC and Form 10F (Now Form 41): Claiming Treaty Relief
A treaty rate is not applied automatically. The residency certificate and the form have to reach the payer before deduction, not after.
What You Give Up by Declaring Under FAST-DS
A declaration is final. Section 137 closes off rectification, revision and appellate relief on what you declare; Section 138 makes the payment non-refundable.
Missed Schedule FA? The Revised Return Window Explained
Forgot to disclose foreign RSUs or a US brokerage account? For AY 2026-27 the revised-return window runs to 31 March 2027 — fixing it now is far cheaper than being asked later.
Taxed Twice on US RSU Dividends? Form 67 Fixes It
Tax withheld in the US and taxed again in India — the credit exists, but it is not automatic. Form 67 is the step people miss.
Schedule FA From Your Broker Statement, Line by Line
Which figure on your equity-platform statement goes where in Schedule FA — and the calendar-year trap that catches most MNC employees.
NRI Property Sale TDS: On the Full Price, Not the Gain
The buyer must deduct on the whole sale value, not the profit — often far more than the real tax. A Section 197 certificate, applied for before the sale, fixes it.
Other topics
- Tax notices and assessments
- Business tax, audit and filing
- GST — registration, returns and credit
- Bank finance and company compliance
- Internal controls, IT audit and data protection
- Service exports, GCCs and professionals
- Manufacturing and industry
- Real estate, JDAs and development
- The Income-tax Act 2025 transition
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