Property Inheritance in India for PIO (Person Indian Origin)

Property Inheritance in India for PIO (Person Indian Origin) Can you please advise us the way to overcome the following scenario we have inherited from our parents in India? (1) Parents: Our parents were both born in India and immigrated to Africa in late 1920’s during the British Empire. They held British Citizenships but regularly visited their ancestral home and land in India. They permanently moved to India back in 1970 where they resettled for good till their death. Our father passed away in India in 1984 and mother in 2015. They left a will in which we all siblings are entitled to equal share of their modest assets. (2) Children: We are six siblings, (all aged 60+) and were all born in Africa and held British Citizenships. We moved to UK in 1970s and are well settled here with our family. (3) PIO Status: We believe we will be classified as PIO (person of Indian Origin) although we are entitled to obtain an OCI status (Overseas Citizen of India) if required. (4) Inheritance: In the parents Will, we have inherited parents ancestral home and three small pieces of agricultural land with a warehouse built in one of them. (5) Our Parents Family Legacy: • Maintain and do not sell your Ancestral home and land. Pass this down from generation to generation and let them enjoy the spiritual journey of their roots. • We have given each of you the knowledge and skills to activate the family values and identities. This should be passed on for generations to remind each of the family member where they all come from. Like an old oak our roots go deep. • Help the needy but do not let your left hand know what your right hand is doing – be humble and keep it a secret. • Few of the next generation will be too busy raising a family here or overseas but whenever you pay a visit to India, try to find time to visit Ancestral House to appreciate your heritage. • Remember the purpose of living is to be happy so simplicity is the best form of living a happy life. (6) Rental income: (a) House: Locked and maintained and regularly visited by the family from UK. (b) The Land & Warehouse: These have been let out to local Indian Citizens which generates a modest income of around Rps 90,000 per annum depending on the season. This rent is paid in cash and is deposited in the bank to pay for the maintenance costs of the house which is now going through a refurbishment. (7) Questions/Issues: (a) Our concerns are that we do not have any tenancy agreement in writing with the locals. We have seeked advise from the local elders who advised us that this not the way things are done over here and there is nothing to worry about as none of these tenants would take over the property and they would vacant it when you need it back. They also inform us that if we do this properly, you would be opening a can of worms with the Revenue and RBI. What are your views and recommendations on this? (b) What are the RBI and Tax Revenue rules and are we in breach of any of their rules like not doing tax returns for a modest income of under 1 lack of rupees per annum. (c) What is the Capital Gain Tax on selling off the land and the warehouse if the rest of the family decide which will break the family spirit as this was not our parent’s legacy wish?