You can save the tax on your long term capital gains by investing them in certain bonds. Bonds issued by the National Highway Authority of India (NHAI) or Rural Electrification Corporation (REC) have been specified for this purpose. These are redeemable after 5 years (Prior to 2018, it was 3 years) and must not be sold before the lapse of 5 years (Prior to 2018, it was 3 years) from the date of sale of the house property.

So yes you may take the benefits of 54EC.

Regards.

NRIs are allowed to claim exemptions under section 54 and Section 54EC on long term capital gains from sale of house property in India.

An NRI can also invest in capital gains bonds as per Section 54EC to claim an exemption on capital gains.

Under Section 54EC, the long-term capital gains (LTCG) on the sale of a land or building or both can be claimed as exempt from tax in India to the extent the capital gains are invested in specified bonds (such as NHAI and REC), subject to a maximum limit of Rs.50 lakh.

ou can save the tax on your long term capital gains by investing them in certain bonds. Bonds issued by the National Highway Authority of India (NHAI) or Rural Electrification Corporation (REC) have been specified for this purpose. These are redeemable after 5 years and must not be sold before the lapse of 5 years (Prior to 2018, it was 3 years) from the date of sale of the house property. 

Under Section 54EC, the long-term capital gains (LTCG) on the sale of a land or building or both can be claimed as exempt from tax in India to the extent the capital gains are invested in specified bonds (such as NHAI and REC), subject to a maximum limit of ₹50 lakh.

asOCI holder you can invest in these bonds to save taxes

- As per law, an NRI/OCI , who is selling house property which is situated in India have to pay tax on the Capital Gains , and this tax that is payable on the gains depends on whether it’s a short term or a long term capital gains.

- Further, long term capital gains are taxed at 20% and short term gains shall be taxed at the applicable income tax slab rates for the NRI based on the total income which is taxable in India for the NRI.

- Further, when an NRI sells property, then the buyer is liable to deduct TDS @ 20%.

- Further , if the property has been sold before 2 years from the date of its purchase, then 30% TDS shall be applicable.

- However, an NRIs is allowed to claim exemptions under section 54 and Section 54EC on long term capital gains from sale of house property in India.

- Further, and also can invest in capital gains bonds as per Section 54EC to claim an exemption on capital gains.

 Yes, since you being an OCI card holder pay taxes on your income in India, you are entitled to invest in any tax saving schemes available in India.

1. Yes you can do that.

2. Under Section 54EC, the long-term capital gains (LTCG) on the sale of a land or building or both can be claimed as exempt from tax in India to the extent the capital gains are invested in specified bonds (such as NHAI and REC), subject to a maximum limit of ₹50 lakh. As an OCI card holder you are free to invest in these bonds.

If, you have a PAN card  here then you can apply for relaxation in LCTG as well TDS.

Thereafter you can repatriate the money as well. 

Dear Sir,

1) An NRI can also invest in capital gains bonds as per Section 54EC to claim an exemption on capital gains.

2) Tax Exemptions bonds available under section 54EC, the taxpayer can acquire any of them or any combination of them to avail the benefits of section 54EC.

• National Highways Authority of India
• Rural Electrification Corporation
• Power Finance Corporation Limited (as notified)
• Indian Railway Finance Corporation Limited (as notified)

3) Time limitation-Should be invested within 6 months from the date of transfer of Long-Term capital asset but in case of compulsory acquisition from the date of receipt of compensation.

Thank you