Who is an NRI?
According to the Income Tax Act 1961, Non-Resident Indian is an expression used to denote any citizen or person of Indian origin who does not reside in India permanently. NRIs often accumulate sizeable assets in India, in such circumstances, it becomes a matter of extreme importance that after the individual's passing away, those assets could be passed to the loved ones effectively, especially in an event of intestate.
Essentials of will
- 18 years of age
- Sound mind
- Sign the Will voluntarily, without coercion or undue influence
- Ensure the Will is written, signed, and attested by two witnesses
- The will should specify the assets to be bequeathed, the beneficiaries, and the appointed Executor who will manage the distribution of assets. While this process is essential to avoid disputes and delays, NRIs often find it overwhelming due to the numerous personal, local, and national laws that govern succession in India.
Why do NRIs Need to Make a Will?
Without a Will, inheritance becomes a bit slow procedure termed as intestate succession. Dying intestate subjects, the NRIs' families to apply for a succession certificate or a letter of administration before Indian courts. This would involve:
- Filing official documents such as birth certificates, identification documents, and asset details
- Following legal proceedings that can take more than six months, or even years if contested
- Dealing with the complexities of different succession laws depending on the country of residence, location of assets, and applicable inheritance rules
Will-Making Tips for NRIs
- Nominee vs. Legal Heir: Remember that a nominee is a trustee of your assets, not a legal heir. A Will ensures that your assets are passed on to your rightful heirs, avoiding conflicts between nominees and legal beneficiaries.
- Professional Assistance: Have your Will drafted by legal professionals with expertise in NRI succession laws to ensure it is valid and enforceable.
- Periodic Updates: Review your Will every 1-2 years to ensure it reflects any changes in your assets or beneficiaries.
- Clear Language: Use unequivocal phrasing to avoid misinterpretation of your Will.
- Reliable Executor: Appoint an Executor who is younger, reliable, and preferably a local resident to ensure smooth execution of your Will.
- Foreign Exchange Compliance: Be mindful of foreign exchange regulations when drafting your Will, especially for assets held outside India.
- Secure Storage: Keep your Will in a safe place and inform your Executor about its location.
Why Choose YKG Global?
1. Comprehensive NRI-Focused Services
2. Expertise in Cross-Border Succession Laws
3. Simplified Legal Process
4. Professional Will Drafting
5. Tailored Advice and Support
6. Efficient and Transparent Execution
7. NRI Will Registration Assistance
8. Safeguard Your Family's Future
