Tuesday, July 17, 2007

R2I # 15 - Is it worth bringing stuff back to India?

Here is question I got in my mail box for my earlier R2I post
Based on your experience, is it worth bringing any thing back to India. Last time I was home, I realized that everything that you want is available in India. The cell phones are far better in India than here. Of course there is a lot of things you need to know when you buy the service in India.

Yes, it is true that almost all household articles are freely available in India and one might choose to go for new stuff when settling back. But this approach will pinch the pocket heavily particularly when the R2I itself is an expensive proposition in terms of all other expenses. Also, from a familiarity perspective, I would suggest bring the stuff that is important to the family. It also makes economic sense as there is little or no customs duty for the most of the used household articles.

But while packing, pl. take in to consideration the fact that you might end up moving in to a substantially smaller quarter than the existing home in US. But then one might use this opportunity to donate some stuff to charity in India or in US.

1 comment:

  1. I stumbled upon your blog while researching on r2i.

    Am planning to r2i next year. I will be eligible for US citizenship this year.
    Some of my questions are

    1.Is it worth going for US citizenzhip & OCI ? Or is it better to just give everything up and come as normal indian citizen?
    2.There are lots of info available for OCIs living outside India. Does the same appy to OCI residing in India?In other words
    is there any advantage to an OCI residing in India?

    I'm particularly concerned about financial issues

    - If you are an US citizen/OCI residing in India, can you maintain normal bank accounts or does it have to NRE,NRO?
    -Currently NRIs cannot invest in post office bonds etc and it applies to OCIs too.If thats the case does one lose
    out on tax front if one is an OCI?( as he/she cannot invest in things like NSC etc to reduce tax burden)
    -When you bring back your savings from US back to India what account can you have it in?

    -Are you treated like a resident of India for income tax purposes if you are US citizen/OCI?