The Indian government have made changes to the taxation of gifts from residents to non-resident Indians (NRIs).

The changes were made in the newly-elected government’s Finance Bill 2019 and were expected as it has long been a “vexed issue,” Surabhi Marwah, partner and private client services leader, EY India, explained.

As of 5 July 2019, any receipt of ‘gift’ of money or specified properties situated in India by a non-resident from an Indian resident shall be taxable in India. 

This means Indian residents may have to comply with withholding tax and reporting requirements in India at applicable ...