Why does NRI Desk show mid-market rates?

Mid-market rates are a neutral benchmark. The amount you actually receive is usually lower after bank or remittance provider spreads and fees.

Can I rely on the remittance comparison as a quote?

No. The comparison is indicative and helps shortlist providers. Always confirm the live quote in the provider app before transferring money.

Are NRI loan calculations exact?

The EMI formula matches the standard reducing-balance method, but banks may add fees, insurance, prepayment rules or eligibility conditions.

Section 80C deductions for NRIs: what you can and cannot claim

NRIs can claim Section 80C deductions up to ₹1.5 lakh per year on eligible investments including ELSS mutual funds, life insurance premiums, NRE/NRO FD principal (5-year tax-saver FDs), and home loan principal repayment. PPF contributions and NSC are not permitted for NRIs.

₹1.5 lakh limit applies to NRIs too

NRIs can claim Section 80C deductions up to ₹1.5 lakh per year, but only on eligible instruments. ELSS mutual funds, life insurance premiums on qualifying policies, NRI home loan principal repayment and term insurance premiums qualify. PPF new accounts, NSC and Post Office schemes are not available to NRIs.

Key points

₹1.5 lakh annual limit — Section 80C deduction limit is ₹1.5 lakh per financial year — same for NRIs as for resident Indians.
ELSS is the most flexible — ELSS (Equity Linked Savings Schemes) is the most accessible 80C instrument for NRIs — 3-year lock-in, market-linked returns.
PPF and NSC not permitted — NRIs cannot open new PPF or NSC accounts. Existing PPF accounts opened as residents can be maintained but no new NRI contributions are allowed after the financial year of becoming NRI.

What NRIs can claim under Section 80C

ELSS mutual funds: up to ₹1.5 lakh investment, 3-year lock-in, available to NRIs (check AMC restrictions for US/Canada NRIs).

Life insurance premiums: qualifying policies on own life, spouse or children — premium must not exceed 10% of sum assured for policies issued after April 2012.

Home loan principal repayment: on a loan for an Indian residential property — principal component of EMI qualifies.

5-year tax-saving FDs with Indian banks: NRIs can invest in 5-year FDs under the tax-saver category at most major banks.

Tuition fees: for full-time education of up to two children at an Indian school, college or university.

What NRIs cannot claim under 80C

PPF new contributions: NRIs cannot open a new PPF account. Existing accounts (opened while resident) may be continued but no new NRI contributions after becoming NRI per amended PPF rules.

NSC (National Savings Certificate): not available to NRIs — NSC is a post office instrument restricted to residents.

Senior Citizens Savings Scheme (SCSS): restricted to residents above 60.

NPS: NRIs can invest in NPS and claim deduction under 80CCD(1B) up to ₹50,000 — separate from 80C.

Home loan (new purchase outside India): only India-property loans qualify.

Frequently asked questions

Can an NRI invest in ELSS?

Yes, most NRIs can invest in ELSS through NRE or NRO accounts. Note: AMCs including SBI, HDFC, Axis and Nippon restrict NRIs based in the USA or Canada from investing in ELSS due to FATCA compliance costs. Check the specific fund house before investing.

Can NRIs claim 80C on existing PPF contributions?

NRIs with a PPF account opened as residents may be permitted to continue existing subscriptions in some cases, but amended rules restrict fresh contributions. Check with your bank or the PPF account-holding post office for current rules.

Is Section 80C available under the new tax regime?

No. Section 80C deductions are available only under the old (non-default) tax regime. If you opt for the new tax regime, 80C deductions are not available — but the lower slab rates may still result in lower tax overall.