uTrade AlgosIndividuals eligible to open an NRI trading account with Share India include:
- Non-Resident Indians (NRIs): These are Indian citizens who have moved abroad for employment, business, or other purposes. They typically hold an Indian passport and have been residing outside India for a specific period.
Based on your usage and residency, the various types of Demat accounts are:
- Regular Demat Account
It is the normal Demat account for the use of Indians to make trades in the stock market. It cannot be used by NRIs and must be held and used by Indians residing in India.
- Repatriable Demat Account
A repatriable Demat account is also known as a Non-Resident External (NRE) Demat account, as it has an NRE bank account linked to it. Any individual with this type of Demat account can transfer all their earnings and profits abroad and make use of it. This ensures that funds are managed from abroad, and profit can be used by the trader as well.
- Non-repatriable Demat Account
An NRO bank account is associated with a non-repatriable Demat account. For this reason, this type of Demat account is also called the NRO Demat account. In the case of NRIs, only some of the earnings gained from the use of this Demat account can be transferred abroad. There is a transaction limit of up to 1 million USD of funds that can be transferred in a given financial year. Any form of income through this means is repatriable after tax deduction at source (TDS) occurs. Simply put, a maximum of 1 million USD is repatriable after taxation.
- Persons of Indian Origin (PIOs): This category encompasses individuals of Indian descent who have acquired the citizenship of another country but still maintain strong ties to India.
Essentially, any individual who possesses an Indian passport and currently resides outside of India falls within the eligibility criteria for establishing an NRI trading account with Share India.
For more details on how to open an NRI account, click here!