Succession & Inheritance · Panaji, Goa
Inheriting assets in India or abroad comes with real tax and compliance obligations. We advise NRIs and residents on inherited property, capital gains on sale, FEMA repatriation rules, and succession planning to preserve the value of what you receive.
Overview
India does not levy a standalone inheritance or estate tax. However, inheriting an asset is only the beginning — when you sell inherited property or shares, the cost basis rules and capital gains tax apply in ways that catch many beneficiaries off guard. For NRIs, repatriating the sale proceeds adds a layer of FEMA compliance.
We determine the cost of acquisition for capital gains purposes (often the original purchase price by the deceased), compute the correct gains, advise on tax-saving reinvestment under Section 54, and prepare the Form 15CB and Form 15CA for repatriation. We also coordinate with our estate planning practice to structure future succession efficiently.
What we cover
From succession documentation to capital gains filing and repatriation — full-service inheritance guidance.
Get a fixed-fee quote →Determining the deemed cost of inherited assets and computing capital gains tax correctly — including indexation for long-term gains.
Advising on tax-saving reinvestment of capital gains from inherited property into eligible assets under Section 54 and 54F.
Preparing the CA certificate and Form 15CA/15CB required to repatriate sale proceeds of inherited Indian property or shares from an NRO account.
Advising on the legal documentation needed to establish title over inherited assets — succession certificate, probate, or letters of administration.
Advising residents who inherit overseas property, bank accounts, or shares on Indian tax obligations and wealth disclosure in Schedule FA.
Advising NRIs on the permissible routes for receiving, holding, and repatriating assets inherited from Indian residents under FEMA.
Our process
We advise on succession documentation to establish your legal right to the inherited asset.
We compute capital gains using the correct cost basis and advise on reinvestment options.
We file the Indian income tax return reporting the inherited income or capital gain.
We prepare 15CB, 15CA, and the CA certificate to remit proceeds abroad if required.
Frequently asked questions
India does not currently levy an inheritance tax or estate duty. Assets received by legal heirs on the death of a person are not taxable at the point of inheritance. However, any income earned from the inherited asset (rent, interest, dividends) is taxable in the hands of the beneficiary, and capital gains arise when the inherited asset is subsequently sold.
When inherited property is sold, the cost of acquisition is taken as the actual cost to the previous owner (who bequeathed the property), not the market value at the time of inheritance. The holding period includes the period held by the previous owner, which is critical for determining whether the gain is long-term (taxed at 20% with indexation for pre-2024 acquisitions) or short-term.
Yes. NRIs can inherit any immovable property in India — including agricultural land, farmhouses, or plantation property — even though they cannot purchase these categories without RBI approval. An NRI who inherits such property can hold it, rent it, or sell it, subject to the applicable FEMA and income tax rules.
An NRI must sell the inherited property, deposit the after-tax proceeds into an NRO account, and then apply for repatriation up to USD 1 million per financial year. This requires a CA certificate confirming taxes have been paid (often Form 15CB and Form 15CA), and the repatriation is subject to the standard Form A2 filing with the authorised dealer bank.
Yes. Indian residents who are ordinarily resident in India must disclose foreign assets — including inherited foreign bank accounts, immovable property, and financial interests — in Schedule FA of their income tax return, even if the assets generate no income. Non-disclosure can attract heavy penalties under the Black Money Act.
A succession certificate is a court-issued document that establishes the right of legal heirs to receive movable assets — such as bank balances, shares, and insurance proceeds — of a deceased person who died intestate (without a will). It is typically required by banks, depositories, and companies to transfer assets to the rightful heir.
Yes. Long-term capital gains on the sale of inherited residential property can be reinvested in another residential property under Section 54, or in specified bonds under Section 54EC (up to Rs. 50 lakh), to claim an exemption. Planning the timing of sale and reinvestment is critical to maximising the benefit.
Book a free consultation and share details of the inherited asset, the deceased's original cost and holding period, and your residency status. We will compute the capital gains, advise on reinvestment options, file the necessary returns, and prepare repatriation documents if you are an NRI.
Related services
Book a free consultation with our international tax CAs in Goa. We will guide you from succession documentation to capital gains filing and repatriation — no obligation.