What rules and regulations to follow when remitting money from the US to India?
Super excited about sending home my first paycheck. I want to make sure I do it right in terms of paying taxes (if any) and abiding by the rules and regulations on limits of transfer and reporting. I'm on OPT in the US. a) I intend to send money to an account jointly held with my father in India. Can I do this or do I need to remit to another account like an NRE/NRO account? b) Is there a limit on the amount I can transfer per year? Is there a limit I can transfer per person? c) Where and when do I need to report such transfers? My income in the US is taxed by my employer and the money I'm sending is after-tax payment.
Keep in mind there’s a federal gift tax where in if you send a person more than 15k in a year, you’ll be taxed 18-40% of the difference
What if I send 15k each to my fathers account and mothers account. Would that be considered as non taxable gift worth 30k?
that's wrong info, no tax at all, read it up, there is a life time exclusion of around $11M. Form 709, just fill it but again there would be zero tax so send as much you want. I generally use xoom or remitly
I have the same questions. In the same boat as OP. Excited to move to Bay Area and start paying my loan back.
Awww so cute