Nri Tax Calculator — Calculations & Slabs for FY 2026-27

An individual is classified as an NRI in India if they do not meet the residency criteria. Generally, this means they spend less than 182 days in India during the financial year, or less than 365 days across the preceding 4 years along with less than 60 days in the current year.

NRIs are only taxed on income earned or received in India (such as Indian salary, rental income, interest on NRO accounts, or capital gains). Global income earned outside India is entirely tax-exempt in India. NRIs are taxed under standard slabs, but do not get the Section 87A rebate.

DTAA stands for Double Taxation Avoidance Agreement. It is a treaty signed between India and other countries to ensure that NRIs are not taxed twice on the same income. Under DTAA, tax rates on interest income, royalties, etc., are capped (typically at 10% to 15%) which is lower than the flat 30% TDS rate on NRO deposits.

Banks deduct a flat 30% TDS (plus surcharge and cess, totaling ~31.2%) on interest earned in Non-Resident Ordinary (NRO) accounts. This is much higher than resident TDS rates. However, if a DTAA is active, NRIs can submit tax residency certificates to lower the TDS rate to 10%-15% depending on the country.

You can verify the values against the official notifications listed in our data sources section at the bottom of the page.