NRO tax saver fixed deposit

Key Features of NRO Tax Saver Fixed Deposit

Deposit Benefits

  • Claim full tax exemption for investments up to ₹1.5 lakh in a financial year under section 80c of the Indian Income Tax Act, 1961.

  • Get interest rate on fd credited to your account every month or quarter.

  • Open an NRO Tax Saver FD jointly for seamless fund management.

  • Name a nominee for your NRO Tax Saver Fixed Deposit to ensure that the funds are securely transferred to your chosen beneficiary in case of Circumstances.

NRO Fixed Deposits

FD Details

  • Section 80c is available to NRIs only if you have income other than investment income and long-term capital gains.

  • The tenure for an NRO Tax Saver Fixed Deposit is 5 years (lock-in period).

  • Minimum investment of ₹100 and then in multiples of ₹100 up to ₹1.5 lakh in a financial year

  • No partial or premature withdrawals available. 

  • In the case of joint ownership, only the first holder will get the tax benefit.

Withdrawals

Interest Rates

  • Interest rates are subject to periodic changes. To view the most recent information, please clear your browser cache. The applicable interest rates will be those in effect on the date the Bank receives the funds. Rates are displayed on a per annum basis. 
  • Click here to view the details of the NRO Fixed Deposit interest rates.
Tax Deductions

More About NRO Tax Saver Fixed Deposit

  • Features of NRO Tax Saver Fixed Deposit
  • HDFC Bank’s NRO Tax Saver FD offers a full tax exemption for investments up to ₹1.5 lakh in a financial year under section 80C, with interest credits every month or quarter and a nomination facility available on the deposit.
  • Benefits of NRO Tax Saver Fixed Deposit
  • The benefits of the NRO Tax Saver Fixed Deposit online include tax savings under Section 80C of the Income Tax Act for Non-Resident Indians (NRIs), stable fixed and attractive interest rates, and a lock-in period of 5 years. It provides a secure way for NRIs to invest and save while availing themselves of tax benefits on their investments.
  • How to apply for an NRO Tax Saver Fixed Deposit?
  • To apply for an NRO Tax Saver Fixed Deposit at HDFC Bank, visit the official website and take the following steps: NRI->SAVE->NRI Deposits->Fixed Deposit Rupee Account->NRO Tax Saver Fixed Deposit.
  • Most Important Terms & Conditions
  • *The (Most Important Terms and Conditions) for each of our banking offerings features all the specific terms and conditions that govern their use. You must go through it thoroughly to fully understand the terms and conditions applicable to any banking product you choose.

Frequently Answered Questions

NRO Tax Saver Fixed Deposit is a Fixed Deposit scheme for Non-Resident Indians (NRIs) in India, which also offers tax benefits under Section 80C of the Income Tax Act. It has a lock-in period of 5 years and allows NRIs to save tax on investments up to ₹1.5 lakh annually while earning fixed interest rates.

To potentially reduce TDS on NRO Fixed Deposit schemes, link your PAN card with your bank account to lower the TDS rate. Also explore Double Taxation Avoidance Agreement (DTAA) benefits for a possible lower TDS rate if your resident country has a DTAA with India.

Deposits in HDFC Bank’s NRO Accounts are taxable. Interest earned is subject to a 30% tax plus applicable surcharge and cess. However, benefits under the DTAA Agreement may be available.

What is the eligibility criteria?
 

  • You qualify if you are a non-resident individual with Indian nationality or a Person of Indian Origin (PIO).   

  • Joint accounts with other non-resident Indians (NRIs) are also allowed. 
     

Note- Upon change of your status from NRI to RI, you need to inform the Bank immediately.