NRE, NRO or FCNR: which deposit leaves you more after US tax?
Enter an amount, the rates your bank quotes, and your US tax bracket. We show what each deposit leaves after Indian tax, US tax, and the rupee's fall.
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How this works
The calculator compares one year of simple interest on the same amount in four places. NRE and NRO deposits are held in rupees. An FCNR(B) deposit and a US savings account are held in dollars.
India does not tax NRE or FCNR interest while you are a non-resident. NRO interest has tax withheld in India: the calculator uses 30%, or 15% if your bank applies the US-India treaty rate. Banks add cess, and surcharge on larger incomes, to the 30% rate, so the amount withheld can be slightly higher.
The US taxes all four as ordinary interest at your federal and state rates, plus the 3.8% net investment income tax if it applies to you. Indian tax on NRO interest is credited against the federal tax on that interest, not against state tax or the 3.8% tax.
For the rupee deposits, the calculator converts your principal and interest back to dollars at the end of the year, after the rupee has fallen by the yearly rate you set. That loss is shown as the rupee effect. Any US tax treatment of the currency loss itself is left out.
The spreadsheet compares up to eight deposits at once, so you can add more banks or terms, and lets you set the Indian tax rate for each one.
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Common questions
Which rates should I enter?
The one-year rates your own bank quotes today. Rates differ by bank, amount, and term, and they change often, so the example figures are only there to show how the calculator works.
Why does the rupee's fall matter for NRE and NRO but not FCNR?
NRE and NRO deposits are held in rupees, so their dollar value falls when the rupee falls. An FCNR(B) deposit is held in dollars and is repaid in dollars.
What rate should I use for the rupee's fall?
The calculator starts at 3.5% a year, which you can change. Set it to 0 to see the result if the exchange rate stays where it is.
Is what I type saved anywhere?
Only in this browser, so your entries are still here if you come back. Nothing is sent to NRI Playbook. Use Start over to remove them, for example on a shared computer.
This tool gives estimates for planning. It is not tax, legal, or investment advice. Check your situation with a qualified cross-border tax professional.