D
- DTAA (Double Taxation Avoidance Agreement)
A tax treaty between India and another country that stops the same income being fully taxed twice — usually by giving one country the first right to tax it, or by crediting tax already paid in the other.
F
- FBAR (Report of Foreign Bank and Financial Accounts)
A US filing requirement for US persons with a financial interest in, or signing authority over, foreign accounts — including Indian ones — once their combined value crosses a threshold at any point in the year.
- FCNR account (Foreign Currency Non-Resident account)
A fixed deposit held in a foreign currency at an Indian bank. Interest is tax-free in India, and because the deposit stays in foreign currency, you're not exposed to the rupee moving against you.
- Form 15CA and 15CB
The two forms your bank needs before sending money from India abroad on your behalf — one you file yourself online, the other a chartered accountant certifies once the amount is large enough.
L
- LTCG (Long-Term Capital Gains)
The profit on selling a capital asset you've held long enough to count as long-term — taxed differently, usually more favourably, than a short-term gain.
N
- NRE account (Non-Resident External account)
A rupee bank account for money you earn or bring in from abroad. Interest is tax-free in India, and both the deposit and the interest can be sent back abroad freely.
- NRI (Non-Resident Indian)
An Indian citizen or person of Indian origin who doesn't meet India's tax residency tests for a tax year, so India taxes only income that arises or is received in India.
- NRO account (Non-Resident Ordinary account)
A rupee bank account for income you earn in India while you're an NRI — rent, dividends, pension. Interest is taxable and the bank deducts tax before crediting it, and moving the money abroad has a yearly cap.
P
- PFIC (Passive Foreign Investment Company)
A US tax category that often catches Indian mutual funds and some insurance-linked investments, triggering extra US reporting and, in most cases, a harsher way of taxing the gains and income.
R
- RNOR (Resident but Not Ordinarily Resident)
A residency status between NRI and full resident — mostly for people who've just become tax-resident in India again after years abroad — under which most income that arises outside India stays untaxed in India.
T
- TDS (Tax Deducted at Source)
Tax the payer deducts before paying you — on rent, interest, sale proceeds and more — and deposits with the government on your behalf, before you ever see the money.
- TRC (Tax Residency Certificate)
A certificate from your country of residence proving you're a tax resident there for the year — you need one before India will apply a lower DTAA treaty rate to your income.