For Indians living in Canada
NRI in Canada?Your India Tax, Sorted
Indian rent, deposits or a property sale? We file in India and brief your Canadian preparer.
India side — what applies to you
- You're an NRI for India if you spend fewer than 182 days in India in the tax year (April–March) — with a few extra tests for visitors and people with Indian income above ₹15 lakh.
- NRE / FCNR interest is tax-free in India while you are an NRI. NRO interest is taxable, and banks deduct TDS of about 31.2% on it.
- Rent from your Indian property is taxable in India; your tenant should deduct about 31.2% TDS. You get a 30% standard deduction on rent.
- NRIs get the ₹4 lakh basic exemption under the new regime, but not the Section 87A rebate that makes income up to ₹12 lakh tax-free for residents.
- Because TDS is often much higher than the real tax, many NRIs are owed a refund — but only if they file an Indian return.
- Selling property: without a lower-TDS certificate, buyers in practice deduct TDS on the full sale price. A lower-TDS certificate before the sale, or an ITR after it, gets back what is excess.
Canada side — points for your Canadian tax preparer
- Canadian tax residents report worldwide income on their T1 return, including Indian rent and interest, converted to Canadian dollars.
- If the total cost of your specified foreign property (Indian bank accounts, investments and property held as an investment) exceeded CAD 100,000 at any time in the year, Form T1135 is required.
- Indian tax paid can usually be claimed as a foreign tax credit under the Canada–India tax treaty (Form T2209).
- Canada's tax year is the calendar year and India's is April–March, so India income has to be re-cut for your Canadian return.
Thresholds as of 2026-10-30. We advise on Indian tax; points about Canada are general pointers to discuss with your local tax adviser.
Also try our free Canada income tax calculator.
India–Canada tax treaty: rates India applies on payments to Canada residents
| Income | Treaty rate |
|---|---|
| Dividends | 15% / 25% |
| Interest | 15% |
| Royalties | 10% / 15% |
| Fees for technical services | 10% / 15% |
Treaty relief needs a tax residency certificate and Form 41. The lower of the treaty and domestic rate applies. Full table and notes: India DTAA rates.
Free India tax check for NRIs in Canada
See your status, whether you must file, and your likely TDS refund. Prefer the full page? Open the NRI tax health check.
1. About you
2. Your Indian income this year (in ₹, yearly)
Indian return filing — fixed fee in US dollars
Book: NRI India Income Tax Return (filing)
After payment we email/WhatsApp you the document list and start within one working day (India time).
NRI services in detail
NRI ITR Filing — Indian Return, Filed Online →
From ₹9,999
NRI Property Sale in India — Capital Gains and TDS Refund →
From ₹10,000
Lower TDS Certificate for NRIs (Form 128) →
From ₹18,000
Form 145 / 146 Filing — Move Money Abroad from India →
From ₹3,000
All NRI services, fees and free tools are on NRI Tax Services. See also India DTAA rates.
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- Fee quoted before we start
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Frequently asked questions
Do I need to report my Indian bank accounts in Canada?
If the cost of your foreign property, including Indian accounts and investments but not personal-use property, was over CAD 100,000 at any time in the year, Form T1135 is required. Your Canadian preparer files it; we give them your Indian account details.
Can I claim the Indian tax I paid on my Canadian return?
Generally yes, as a foreign tax credit under the treaty, limited to the Canadian tax on that income. File the Indian return first so the Indian tax paid is final and documented.
I am a Canadian PR who recently arrived. Am I still an NRI for India?
Residential status for India depends on days spent in India, not on your PR status. Most people living in Canada with short visits are NRIs, but we check the day-count tests and the RNOR rules for returning or visiting years.
Can I pay in Canadian dollars?
Plans are charged in US dollars by international card or PayPal, and your card issuer converts from Canadian dollars at its own rate. Bank transfer is also accepted.
Which exchange rate should I use for Indian income on my Canadian return?
The Canada Revenue Agency accepts the Bank of Canada rate on the date of each transaction, or an average annual rate where income arises evenly through the year. We give your preparer income by month so either method works.
Guides for NRIs
- NRI Income Tax Return Filing — Which Form & DTAA Relief
- NRE vs NRO vs FCNR Accounts Explained
- NRI Ki India Mein Rental Income — Tax, 31.2% TDS aur Refund Kaise Lein
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