India deducts TDS at 30% by default. As a US-based NRI, you're entitled to significantly lower rates under DTAA. See exactly what you owe — and what you're overpaying.
Why Currency Adjustment Matters for US-Based NRIs?
FAQs
Why does INR depreciation reduce my returns in USD?
Because you start with dollars and end with dollars. Whatever the rupee loses against the dollar during your investment period comes directly out of your return on the way back out. That's currency drag — and it compounds silently every year. This calculator makes that visible so you can plan around it, not be surprised by it.
Does GIFT City avoid currency drag entirely?
Yes. GIFT City IBU accounts are USD-denominated end-to-end — you deposit dollars, earn interest in dollars, and withdraw dollars. No conversion at any point. The rate you see is the rate you get in USD, which makes it the cleanest apples-to-apples benchmark against a US HYSA.
What's the 1% FX round-trip cost?
When you convert USD to INR (to invest) and then back to USD (to repatriate), banks and remittance services typically charge a spread of 0.5–1% each way. Basically, it's the spread banks and transfer services charge when you convert USD to INR and back. Using a service like Wise or Remitly keeps this cost low. It's a small number but worth including — especially on longer time horizons where it compounds against you.
Are GIFT City returns actually in USD with no FX risk?
Yes. GIFT City IBU accounts are USD-denominated. You deposit in dollars, earn interest in dollars, and withdraw in dollars. There is no INR conversion involved, so no currency risk applies — which is why GIFT City compares favorably to NRE FDs on this calculator at similar headline rates.
What INR depreciation rate should I use?
Look at the RBI exchange rate chart above this FAQ section — it shows actual historical movement so you can form your own view. Run the calculator at a few different assumptions: optimistic, in line with recent history, and conservative. If an investment only wins in the best-case scenario, that's useful information.
What is FBAR and does opening an Indian account trigger it?
FBAR is an annual filing for US residents who hold foreign financial accounts above a certain threshold. If you already have NRE or NRO accounts, you're likely already filing it. A GIFT City account is one more foreign account to include — it doesn't change the filing process significantly.
