BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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NRE Account
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NRO Account
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FCNR(B) Account
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Both (A) and C
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Detailed explanation-1: -The deposits in an NRE account along with the interest earned is fully repatriable.
Detailed explanation-2: -NRE accounts are freely repatriable (principal and interest generated), but NRO accounts are limited, with maximum repatriation of USD 1 million nett of relevant taxes every financial year after providing an undertaking and a certificate from a chartered accountant.
Detailed explanation-3: -Yes, an individual can open both NRE and NRO accounts to meet his needs. If you have any income arising in India, you can receive it in NRO account, and if you want to park your earnings abroad in India, you can open an NRE account.
Detailed explanation-4: -Repatriation from an NRO account is possible after taxes have been deducted from the income. The current income in NRO accounts is from earnings in India and is liable to be taxed. There is a repatriation limit of USD 1 million in a financial year on income from the sale of any moveable or immovable assets in India.