US & India Tax · Panaji, Goa

US Tax Implications & Reporting

Navigating two tax systems simultaneously. We advise US citizens, Green Card holders, and NRIs with US connections on FBAR, FATCA, US-India DTAA, PFIC, and dual-status filing — coordinating Indian and US compliance so nothing slips through.

Overview

Two countries, one integrated plan.

The United States taxes its citizens and Green Card holders on worldwide income — regardless of residence. This means an Indian-American living in Goa, or an NRI with US investments, faces simultaneous obligations to the IRS and Indian Income Tax Department. Missing either side can mean large penalties on both.

We bridge the gap: handling your Indian remittance filings, advising on the US-India DTAA treaty position, and coordinating with our US CPA network for FBAR, FATCA, and US return preparation — one team, no jurisdictional gaps.

What we cover

Our US tax advisory services.

Integrated Indian and US compliance for dual-status taxpayers, NRIs with US income, and US persons with Indian assets.

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FBAR (FinCEN Form 114)

Identifying accounts that trigger FBAR, preparing filings for NRE/NRO/FCNR accounts, and regularising missed prior-year FBARs.

FATCA (Form 8938)

Reporting specified foreign financial assets on the US tax return and advising on Indian bank account disclosure requirements.

US-India DTAA Treaty Positions

Applying the treaty to eliminate or reduce double taxation on Indian salary, rent, capital gains, dividends, and royalties for US persons.

Foreign Tax Credit & FEIE

Maximising the Foreign Tax Credit and Foreign Earned Income Exclusion on the US return to offset Indian taxes paid.

PFIC Analysis for Indian Investments

Assessing whether Indian mutual funds, AIFs, or equity holdings qualify as PFICs and advising on the correct US reporting election.

Green Card Expatriation & Exit Tax

Advising returning NRIs on the tax implications of relinquishing US citizenship or abandoning a Green Card under Section 877A.

Our process

Your US-India tax, step by step.

01

US Status & India Profile

We assess your US filing status and map all Indian income, accounts, and assets.

02

Treaty & Credit Strategy

We identify the optimal DTAA position, FEIE, and Foreign Tax Credit strategy.

03

Indian Filings

We prepare your Indian ITR, Form 15CA/15CB, and any FEMA filings required.

04

US Coordination

We coordinate FBAR, FATCA, and US return preparation with our US CPA partners.

Frequently asked questions

US tax for NRIs & Indians abroad, answered.

Do US citizens living in India still need to file US tax returns?

Yes. The US taxes its citizens and Green Card holders on worldwide income regardless of where they live. A US citizen in India must file Form 1040 annually if income exceeds the threshold. They may claim the Foreign Earned Income Exclusion or a Foreign Tax Credit for Indian taxes paid to reduce double taxation, but the filing obligation cannot be waived.

What is FBAR and when must it be filed?

FBAR (FinCEN Form 114) must be filed by US persons who have a financial interest in, or signature authority over, foreign financial accounts with an aggregate value exceeding USD 10,000 at any point during the year. This includes NRE, NRO, and FCNR accounts in India. It is filed electronically with FinCEN by April 15, with an automatic extension to October 15.

What is FATCA and how does it affect NRIs with Indian accounts?

FATCA requires US persons with foreign financial assets exceeding specified thresholds to report those assets on Form 8938 filed with their US return. Indian banks must identify US persons among their account holders and report them to the IRS through the India-US FATCA inter-governmental agreement. Failure to comply can result in 30% withholding on US-source payments.

How does the US-India DTAA reduce double taxation?

The US-India DTAA allocates taxing rights over specific income types and caps withholding rates on dividends (15–25%), royalties (15%), and interest (15%). US persons can claim a Foreign Tax Credit for Indian taxes paid, which is the most common route to relief given US citizenship-based taxation.

What are PFIC rules and do Indian mutual funds trigger them?

A Passive Foreign Investment Company (PFIC) is a foreign corporation predominantly passive in nature. Indian mutual funds typically qualify as PFICs under US tax law, attracting punitive excess distribution rules or mark-to-market elections unless a QEF election is available. US persons holding Indian mutual funds should seek specific advice before investing.

What happens if I missed filing FBAR in prior years?

Willful FBAR failures can result in penalties of the greater of USD 100,000 or 50% of the account balance per violation. Non-willful failures attract up to USD 10,000 per violation. The IRS Streamlined Filing Compliance Procedures allow eligible non-filers to regularise past failures with reduced penalties. We coordinate with US CPA partners to assess the best route.

I am an NRI returning to India — what US tax obligations remain?

If you are a Green Card holder or US citizen, your US filing obligations continue until you formally relinquish citizenship or abandon your Green Card. Abandoning a Green Card triggers expatriation tax rules under Section 877A if you meet the net worth or tax liability thresholds. We advise on the timing and implications of exit from the US tax system.

How do I get US tax advisory for my Indian income?

Book a free consultation and share your US filing status, Indian income types, and account details. We coordinate with our US CPA network to provide an integrated Indian and US tax plan covering Form 15CA/15CB, Indian ITR, FBAR, FATCA, and treaty positions in a single joined-up engagement.

US citizen with Indian income? File correctly on both sides.

Book a free consultation with our international tax CAs in Goa. We coordinate your Indian and US filings so every obligation is met — no obligation, no pressure.