- Home
- /
- Country Hubs
- /
- United Kingdom
UK–India Tax, FEMA & Financial Advisory for NRIs & OCIs.
In short
Indians in the UK are NRIs for Indian tax based on day-count, not domicile. From April 2025 the UK ends remittance basis and exposes 10-year residents to worldwide IHT. India-UK DTAA Article 4 settles dual residency by centre-of-vital-interests. ISA shelter ends in India; SIPP draws are taxed on residence with UK credit.
Last reviewed: June 2026 · Updated for AY 2026-27
What do United Kingdom NRIs ask first?
The same four pillars (tax, FEMA, property, return) apply everywhere — but the order changes by corridor. Here's where United Kingdom cases usually start.
- 01India-UK DTAA
- 02April 2025 non-dom changes (end of remittance basis, four-year FIG regime, IHT on worldwide assets after 10 years)
- 03RNOR sequencing on return
- 04ISA and pension treatment (ISAs lose shelter in India; SIPP draws taxed under DTAA Article 19/20)
- 05UK IHT exposure
How do we help United Kingdom NRIs?
Book a focused advisory call tailored to your corridor.
- 01Return-to-India planning call
- 02Non-dom transition review
- 03UK IHT and structuring review
Deep reads for United Kingdom NRIs.
Step-by-step explainers for the United Kingdom corridor.
What changes when you return to India from United Kingdom?
What makes a permanent return from United Kingdom different, from more than 250 NRI Come Back Plans prepared by Regi Tom Antony & Associates in the last ten years. Regi returned to India himself after around 20 years abroad.
- 01Pensions: SIPP and workplace pension draws are taxed in India on residence once you are Resident and Ordinarily Resident, with credit under the India-UK DTAA. Plan lump sums inside the RNOR window where possible.
- 02Inheritance tax: from 6 April 2025 the UK taxes long-term residents (10 of the last 20 years) on worldwide assets, and that exposure can continue for several years after you leave.
- 03ISAs: the UK shelter is not recognised in India. Income and gains become taxable here once you are fully resident.
- 04Split-year treatment in the UK and the Indian day-count tests rarely line up neatly; the arrival date matters on both sides.
| Status | Indian-source income | Foreign-source income | Schedule FA (foreign assets) |
|---|---|---|---|
| Non-resident (NR) | Taxed | Not taxed if earned and received outside India | No |
| Resident but Not Ordinarily Resident (RNOR) | Taxed | Taxed only if received in India, or derived from a business controlled in, or a profession set up in, India | No |
| Resident and Ordinarily Resident (ROR) | Taxed | Taxed on worldwide income, with DTAA relief for foreign tax paid | Yes |
Keep exploring.
Step-by-step ITR filing: forms, residential status, Schedule FA and refunds.
The day-count tests that decide whether you are NRI, RNOR or resident.
RNOR sequencing and a personal move-back roadmap.
Browse every NRI tax, FEMA and return guide.
Got a question specific to United Kingdom?
Mention the country and life stage — we'll send back a corridor-specific reply.
Answered, candidly.
- How do the April 2025 non-dom changes affect Indians in the UK?
- From April 2025 the remittance basis ends for most long-term residents. Indians who have been in the UK 10+ years face worldwide IHT exposure and a new four-year Foreign Income and Gains (FIG) regime. If you're planning return-to-India, the sequencing between UK domicile status, Indian RNOR and asset repositioning matters enormously.
- Can I keep my ISA after I move to India?
- You can hold the ISA, but it loses its tax shelter once you become an Indian tax resident. Growth and dividends become taxable in India. We typically model whether to withdraw during RNOR, liquidate before the move, or keep it as a non-sheltered portfolio.
- How is my UK pension or SIPP taxed in India?
- Under the India-UK DTAA, pension payments are generally taxable in the state of residence. If you're resident in India, SIPP draws are taxable here with credit for UK tax already paid. Lump sums and annuity treatment need corridor-specific advice.
- What is the India-UK DTAA tie-breaker for dual residency?
- Article 4 uses a four-step test: permanent home, centre of vital interests, habitual abode, and nationality. Most returning Indians pass to India under 'centre of vital interests' once family, home and economic ties shift. We document this for both HMRC and CBDT.
The frameworks on this page are drawn from NRI Tax Blueprint 2025 — written by Regi Tom Antony, FCA, the practicing CA who advises on the same problems every week.
All country corridors
Compare your situation against every corridor we cover.
Open →Plan your return to India
RNOR sequencing, account redesignation, the 30-day rule.
Open →Property & repatriation playbook
TDS, Section 395 (earlier section 197) and the USD 1M repatriation cap, end to end.
Open →OCI & FEMA rules explained
NRE/NRO/FCNR, property eligibility and FEMA red flags by scenario.
Open →Founders building in India
FDI route, structure choice and FC-GPR for NRI founders.
Open →Browse all guides
Deep guides across tax, FEMA, property and return planning.
Open →
Regi Tom Antony, FCA — a practicing Chartered Accountant who advises NRIs, OCIs and returning founders on the same questions every week. Every page here is drawn from the book and live engagements, not stock copy.
Reviewed by Regi Tom Antony, FCA, who returned to India himself after around 20 years abroad and leads the NRI Come Back Plan at Regi Tom Antony & Associates: 250+ Come Back Plans in the last 10 years, covering RNOR timing, foreign pensions, Schedule FA, estate tax, FEMA, wills and family transition coaching.
- RTA & Associates· Chartered Accountants
- NRI Tax Blueprint· Authored playbooks
Discuss your United Kingdom tax and FEMA situation.
Regional consultation · separate from the NRI Tax Discovery Call and any written review. Check the event's terms before booking.
The NRI Blueprint briefing.
One email a fortnight. Corridor updates, deadline alerts, and one written framework worth your inbox.