NRI Guide: Buying Property on the Yamuna Expressway, End to End

Eligibility: what an NRI can actually buy here

Start with the legal floor, because most of the fear around NRI property purchase is disproportionate to the actual restriction. Under FEMA, 1999 and the Non-Debt Instruments (Acquisition and Transfer of Immovable Property in India) Rules, 2019, an NRI or OCI can buy residential and commercial property in India — including a development-authority-allotted residential plot, which is exactly what a YEIDA plot is — without applying for prior RBI approval. There is no cap on how many such properties you can hold Confirmed (Vidastu NRI FEMA Guide, 25 Jun 2026; consistent with FEMA, 1999 statutory text).

The exclusions are narrow and worth naming precisely rather than gesturing at: agricultural land, plantation property and farmhouses cannot be purchased by an NRI, though all three can be inherited. On the Yamuna Expressway corridor this distinction rarely bites — YEIDA's residential schemes in Sectors 16 through 25, and the apartment stock marketed around them, sit squarely inside the permitted category. PIO status was folded into the OCI card in 2015, so if you hold a PIO card issued before that date, confirm with your consulate that it's still valid for property transactions, or convert it.

Funding the purchase: NRE, NRO, FCNR — and what changes at resale

Three account types do three different jobs, and picking the wrong one for the wrong stage of the deal is the most common avoidable friction NRI buyers hit.

• NRE (Non-Resident External) — holds foreign earnings, and is fully repatriable. This is almost always the right account for your down-payment and registry transfer, because whatever goes in stays fully convertible back out later, subject to the rules below.
• NRO (Non-Resident Ordinary) — a rupee account for India-source income: rent once you take possession, interest, dividends. Money here is repatriable, but capped, which matters directly at resale — see the repatriation section below.
• FCNR (B) — lets you park foreign currency (USD/GBP/EUR/AED) before converting, useful if you want to time the INR conversion rather than transfer the day funds arrive.

Route your initial payment and registry money through NRE where possible; it is the cleanest account for the specific reason that its repatriability isn't capped the way NRO's is. This single choice, made correctly at purchase, is what determines whether your exit years later is straightforward or capped at USD 1 million a year.

Power of Attorney: the mechanics, done properly

A Power of Attorney is not legally mandatory for an NRI buyer, but in practice it's close to universal — very few NRI buyers can fly to India for every signature a YEIDA allotment, registry or sale requires. Three things to get right:

1. Special, not General. A Special PoA names the specific plot or unit and the specific transaction scope. Avoid a broad General PoA unless there is a very specific reason for it — it hands over far more authority than most transactions need.
2. Executed correctly abroad. Sign the PoA before the Indian consulate in your country of residence. Hague Convention countries (most of Western Europe, North America, Australia, Singapore) use an apostille; Gulf countries, which are not Hague signatories, require consularisation instead — the practical difference being an extra stamp at the Indian embassy/consulate rather than the apostille authority in your resident country.
3. Registered in India. The original, once shipped, needs registration at the local sub-registrar before your representative can sign on your behalf for a YEIDA plan approval or a registry.

Vidastu's own NRI desk quotes a 7–14 day end-to-end turnaround for this flow across UAE, UK, US, Singapore and Australia clients Reported (Vidastu NRI Hub, own client data, 25 Jun 2026) — treat that as one firm's operational experience, not an industry-wide guarantee, and build in buffer if your consulate is backlogged.

TDS at purchase — and the very different rules at resale

This is where most NRI buyer guides go vague, and where the actual mechanics matter most, because the rule that applies depends entirely on who the seller is — not on who the buyer is.

Buying from a resident Indian seller

If you, the NRI buyer, are purchasing from a resident Indian seller and the sale consideration is ₹50 lakh or more, you deduct 1% TDS under Section 194-IA and remit it via Form 26QB — the identical rule that applies to any Indian resident buyer. Your PAN is sufficient; you do not need a TAN for this route Confirmed (Income Tax Department, TDS on purchase of immovable property page). Since 1 October 2024, that ₹50 lakh threshold is tested two ways: against the aggregate consideration across every buyer and seller named in a multi-party deal (closing a loophole where splitting a sale across co-owners kept each slice under ₹50 lakh), and against both the sale price and the stamp-duty value, whichever is higher Confirmed (Income Tax Department, same source, near-verbatim across two independent fetches).

Buying from — or later reselling as — an NRI

The moment the seller is an NRI, Section 194-IA drops out entirely and Section 195 governs instead: there is no ₹50 lakh floor, so TDS is due even on a ₹25 lakh transaction, and the buyer needs a TAN (not just a PAN), filing Form 27Q quarterly rather than Form 26QB, and issuing the seller a Form 16A Confirmed (Income Tax Department; CAclubindia.com, Apr 2026; cafornri.com, 4 Mar 2026). The TAN/Form 27Q/Form 16A mechanics are reported consistently by CA-practice sources rather than a primary tax-authority walkthrough, so confirm the exact filing steps with your own CA — Reported (caclubindia.com and cafornri.com).

The rate itself is where the outdated information problem is worst: many calculators and even AI-generated answers still quote the pre-2024 20%-with-indexation regime Reported (cafornri.com's own assessment of the information landscape, 4 Mar 2026). Since the changes that took effect on 23 July 2024, the actual rates are:

• Long-term capital gains (property held more than 24 months): 12.5% plus surcharge and 4% cess — an effective ~13% — with no indexation benefit Confirmed (cafornri.com, 4 Mar 2026; caclubindia.com, 27 Apr 2026, worked example: "₹3.125 lakh TDS = 12.5% of ₹25 lakh"; Income Tax Department's underlying statutory text).
• Short-term capital gains (24 months or less): taxed at slab rates, effectively up to about 31.2% including cess at the top bracket Confirmed (same sources).

Either way, TDS under Section 195 is typically deducted on the full sale consideration, not just the gain, unless the NRI seller pre-empts it. That's the single highest-leverage move available: applying for a Lower or Nil Deduction Certificate under Form 13/Section 197 lets the buyer withhold at your actual computed liability instead of the statutory rate against the whole sale price. Processing reportedly takes a few weeks Reported (caclubindia.com; cafornri.com) — file it before you sign the sale agreement, not after the buyer has already started withholding.

Reinvestment exemptions worth knowing before you resell

Reselling a YEIDA plot and reinvesting: Section 54F exempts LTCG on a non-house long-term asset (plots, shares, gold) if the net sale consideration goes into one Indian residential house within 1 year before/2 years after transfer (or built within 3 years) — individuals/HUFs only, capped at ₹10 crore, denied if you already own >1 house, clawed back if the new house is sold within 3 years Confirmed (Income Tax Department; ClearTax). Reselling a completed unit instead: Section 54 applies, capped at ₹10 crore since Budget 2023, reinvesting only the gain (not full proceeds), with a once-in-a-lifetime split into two houses if the gain is ≤₹2 crore Confirmed (same sources). Section 54EC lets you park up to ₹50 lakh into NHAI/REC/HUDCO bonds for a 5-year lock-in, within a 6-month window Confirmed (Income Tax Department).

Repatriation: getting your money back out, and where the caps bite

Sale proceeds land in your NRO account by default. From there, you can repatriate up to USD 1 million per financial year, net of TDS already withheld, by filing Form 15CA (your own declaration) and Form 15CB (a Chartered Accountant's certificate) Confirmed (ICICI Bank NRI advisory, 15 Mar 2025; consistent with cafornri.com and caclubindia.com). If the sale proceeds exceed that USD 1 million cap in a given year, the excess simply stays in NRO and repatriates in a subsequent year.

The cap works differently if your original purchase was funded through NRE or FCNR: residential property bought that way is repatriable in full, after applicable taxes, for up to two residential units, with no USD 1 million ceiling. A third or further unit falls back under the standard USD 1 million-per-year NRO scheme Confirmed (ICICI Bank NRI advisory, 15 Mar 2025; independently echoed by cafornri.com and caclubindia.com's mentions of the same cap and 15CA/15CB requirement). This is the single clearest argument for routing your original down-payment through NRE rather than a rupee transfer — the account you fund with today quietly decides how your exit works years from now.

Verify before you pay: the five-minute RERA check

Before any EOI, token payment or booking, run this check directly — not through whatever a broker's WhatsApp forward tells you:

1. Go to up-rera.in and search the project by name or, better, by its stated RERA registration number.
2. Confirm the promoter name on the registration matches the entity you're being asked to pay — not a similarly-named marketing partner.
3. Check the registered project address, sanctioned layout, and the number of towers/units against what's been shown to you.
4. Look for quarterly progress reports — a registered project is required to file them; their absence or staleness is itself a signal.
5. Separately verify the selling agent's own UP-RERA agent registration number — a legitimate channel partner discloses one on every page. Vidastu Advisory's is UPRERAAGT000309/01/2026.

Pre-RERA on this corridor: EOI is not a booking

A worked document checklist

FAQ