Tax Attorney Miami Assists Indians, NRIs & OCIs with Cross-Border Income Reporting

For High-Net-Worth Individuals (HNIs), Non-Resident Indians (NRIs), and Overseas Citizens of India (OCIs) residing in the USA, dealing with tax obligations in both India and the United States often feels overwhelming. Differing tax laws, compliance requirements, and income reporting rules can lead to confusion and costly mistakes. This is where a trusted tax attorney Miami becomes essential offering clarity, protection, and strategic planning for cross-border income reporting.

Why NRIs and OCIs Need a Tax Attorney Miami

A seasoned tax attorney Miami understands the complexities of both Indian and U.S. tax regimes and helps NRIs and OCIs stay compliant with the law while optimising tax outcomes. Many NRIs own property, earn rental income, or invest in India while living and earning in the U.S. These dual obligations require custom legal guidance to ensure accuracy and avoid penalties.

1. Cross-Border Tax Challenges for NRIs and OCIs

Income streams for NRIs and OCIs typically include salaries abroad, property rentals in India, capital gains from mutual funds or shares, and interest from NRE/NRO accounts. Each income type is taxed differently in India and the U.S. under the Income Tax Act, 1961 and U.S. Internal Revenue Code.

In India:

NRIs are taxed on income accrued or received in India.
Recent updates via Budget 2025-26 increased the threshold for Tax Collected at Source (TCS) on remittances under Liberalised Remittance Scheme (LRS).
NRIs can now claim exemption on up to two self-occupied properties from notional rent.

In the USA:

Under the Substantial Presence Test, if you qualify as a U.S. tax resident, your global income is taxable, including income earned in India.
Non-compliance with IRS rules like FATCA and FBAR can attract penalties.

2. India–US DTAA and Double Taxation Relief

To avoid the burden of double taxation, India and the U.S. have signed a Double Taxation Avoidance Agreement (DTAA). A tax attorney Miami can help you:

Correctly interpret Articles 6 to 24 of the DTAA
Claim foreign tax credit using Form 1116 (U.S.) or Form 67 (India)
Acquire a Tax Residency Certificate (TRC) for DTAA eligibility

For example, capital gains on Indian shares may be taxed in India but can be credited in the U.S. return, preventing overpayment. If handled improperly, you may miss out on legitimate deductions or credits.

3. FATCA and FBAR Compliance for NRIs in the USA

As a U.S. resident:

You must report foreign bank accounts (if total exceeds $10,000) under FBAR
You are obligated to disclose foreign income and financial assets under FATCA

Interest from NRE accounts is tax-free in India but taxable in the U.S. NRO account interest is taxable in both. A qualified tax attorney Miami ensures correct filings to avoid red flags with the IRS.

4. Recent Legal Updates Impacting NRI and OCI Taxation

Indian Updates:

The Income Tax Appellate Tribunal (ITAT) ruled that services rendered outside India by non-residents are not taxable in India.
Another ITAT ruling expanded the definition of “relative” under Section 56(2)(vii), allowing step-siblings to transfer property without incurring tax.
NRIs are exempt from capital gains tax on Indian mutual fund redemptions in some cases due to DTAA benefits.

U.S. Updates (FY 2025):

Foreign Earned Income Exclusion (FEIE) increased to $130,000
Standard deduction and gift tax exclusions have been raised

These changes reinforce the importance of staying informed and legally supported through a competent tax attorney Miami.

5. Customised Legal Tax Services from LawCrust

We offer:

Strategic tax structuring and optimisation
Representation in audits or disputes in India or U.S.
FATCA and FBAR compliance filing
DTAA claims and TRC processing
Indian and U.S. tax return preparation (Form 1040, ITR-2/3)

FAQs for NRIs & OCIs on Cross-Border Taxation

Q1: Is rental income from Indian property taxable in both countries?

A: Yes. It is taxable in India and reportable in the U.S. Use Form 1116 to claim foreign tax credit in the U.S. against Indian taxes paid. A tax attorney Miami can help calculate credits accurately.

Q2: I sold shares in India. Will I pay capital gains tax in both countries?

A: Likely yes, but DTAA provisions may shift primary taxation to your country of residence. A TRC and expert review by a tax attorney Miami are essential.

Q3: What’s new in Indian tax law for NRIs (FY 2024–25)?

A: Notable changes include:

Higher TCS threshold on LRS (₹10 lakh)
Exemption for two self-occupied houses
No TCS on education loans under LRS
A legal expert can map these to your specific profile.

Q4: Do NRE and NRO accounts need to be reported in the U.S.?

A: Yes. NRE interest is tax-free in India but taxable in the U.S. NRO interest is taxable in both. Report accounts via FBAR and FATCA if thresholds are crossed.

Q5: What does the ITAT ruling mean for mutual fund gains in India?

A: Some DTAAs allow exclusive taxation in the country of residence. A tax attorney Miami can help you claim these exemptions and avoid unnecessary capital gains tax in India.

Conclusion

For Indians, NRIs, and OCIs residing in the USA, managing cross-border income and ensuring proper tax compliance has never been more challenging or more important. Between DTAA interpretation, evolving tax codes, and financial reporting under FATCA and FBAR, it’s easy to make costly mistakes. With a dedicated tax attorney Miami, you gain clarity, protection, and peace of mind through every financial decision.

About LawCrust

LawCrust Legal Consulting, a subsidiary of LawCrust Global Consulting Ltd., is a trusted legal partner for NRIs and Indians across the globe. Backed by a team of over 70 expert lawyers and more than 25 empanelled law firms, we offer a wide range of legal services both in India and internationally. Our expertise spans across legal finance, litigation management, matrimonial disputes, property matters, estate planning, heirship certificates, RERA, and builder-related legal issues.

In addition to personal legal matters, LawCrust also provides expert support in complex corporate areas such as foreign direct investment (FDI), foreign institutional investment (FII), mergers & acquisitions, and fundraising. We also assist clients with OCI and immigration matters, startup solutions, and hybrid consulting solutions. Consistently ranked among the top legal consulting firms in India, LawCrust proudly delivers customised legal solutions across the UK, USA, Canada, Europe, Australia, APAC, and EMEA, offering culturally informed and cross-border expertise to meet the unique needs of the global Indian community.

Maximize Your Wealth: Tax Attorney Miami for High-Net-Worth NRIs & OCIs