Call for Tax Parity: NRIs Seek Equal Benefits

Congress general secretary K C Venugopal has urged Finance Minister Nirmala Sitharaman to extend tax benefits on capital gains from real estate to NRIs, similar to those offered to residents. He argues that the current taxation policy creates an inequitable regime, disadvantaging NRIs significantly.

Congress general secretary K C Venugopal has publicly addressed Finance Minister Nirmala Sitharaman, raising concerns over recent taxation changes affecting Non-Resident Indians (NRIs). In his letter, he stressed the need for NRIs to receive the same tax advantages as other residents on capital gains from real estate.

Venugopal highlighted that the Finance Act, 2024, offers resident taxpayers a choice between a 20% tax with indexation or a 12.5% tax without indexation for properties acquired before July 23, 2024. He pointed out that this option, however, has not been extended to NRIs, depriving them of crucial indexation benefits.

He argued that this discrepancy places NRIs at an unfair disadvantage and called for rectification in the upcoming Union Budget of 2025. Emphasizing the significant contributions of NRIs to India's economy, Venugopal urged equitable tax treatment to reinforce India's commitment to its global diaspora.

(With inputs from agencies.)