• Permission from RBI for buying agricultural land by NRI

I am Staying in USA on temporary visa. I am planning to buy Agricultural Land in the India and my Parents will take care of Agriculture.

RBI website it is mentioned that I need to get permission from RBI before buying the Agricultural Land.

Can you please provide the process to getting the permission from RBI.
Asked 6 years ago in Property Law
Religion: Hindu

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21 Answers

From the website itself you will get the competent authority where you will have to make an application.

if not then seek your localhelo to know the competent authority whom you will have to send application in writing with all necessary details along with your income proofs.

Such permission takes time and needs to be followed on compliance of several procedures.So keep patience till you get such permission.

Acquisition and transfer of immovable property by Indian residents outside India and Non-residents in India is regulated in terms of sub-sections (3), (4) and (5) of section 6 of the Foreign Exchange Management Act, 1999 (FEMA) read with 1Notification No. FEMA 7(R)/2015-RB dated January 21, 2016 and Notification No. FEMA 21/2000-RB dated May 3, 2000, respectively. These Regulations are amended from time to time to incorporate the changes in the regulatory framework and published through amendment notifications.

Devajyoti Barman
Advocate, Kolkata
22779 Answers
484 Consultations

5.0 on 5.0

I am assuming that you are an Indian citizen and are only temporarily residing in the United states .

As an Indian citizen you are permitted and entitled to acquire agricultural land in India subject to approval from the Reserve bank of India.

It is pertinent to mention that laws for acquiring agricultural land in India vary from state to state and in some states only farmers are entitled to buy agricultural land .

Foreigners and Non resident Indians cannot buy agricultural land in India .

R Aditya
Advocate, Delhi
68 Answers
3 Consultations

5.0 on 5.0

NRI cannot purchase agricultural land in India

You need RBI permission which would not be easily granted

You can visit RBI website for details regarding authority to be approached for purchase of agricultural land

Ajay Sethi
Advocate, Mumbai
94522 Answers
7485 Consultations

5.0 on 5.0

If you are citizen of us and have oci card then you need to get RBI permission to by fixed property .

The condition is of Indian origin to buy the property.

It is immaterial that who is taking care of those properties.

Vimlesh Prasad Mishra
Advocate, Lucknow
6852 Answers
23 Consultations

4.9 on 5.0

Some State governments in India have rules that allow only farmers to buy agricultural land in their State and this restricts even Indian citizens from buying agricultural land. An NRI is still an Indian citizen although he is not residing in India owing to his occupation, business or job requirements. Therefore practically he doesn't still lose his status as a citizen of India and can certainly buy or sell property just like a resident Indian would do. But Investment in agricultural property, plantation and farmhouse is prohibited for all classes of persons resident outside India, be it NRIs/OCBs/foreign citizens or other foreign entities. Since general permission is not available to NRI/PIO to acquire agricultural land/ plantation property / farm house in India, such proposals will require specific approval of Reserve Bank and the proposals are considered in consultation with the Government of India. Approval is required from the Reserve bank of India which one can assume is not easily available and this would depend on individual circumstances.

If an NRI purchased land without the permission of RBI, then he is bound to pay penalty under section 13 of FEMA act.

Ajay N S
Advocate, Ernakulam
4072 Answers
110 Consultations

5.0 on 5.0

1) As you have stated that you are leaving in the USA, hope your parents are leaving in the India.

2) are you alone to your parents ? if yes than I will suggest to purchase agricultural land on your parents name.

3) No need to take permission from RBI.

4) let me know all details of your family members and siblings.

Ganesh Kadam
Advocate, Pune
12910 Answers
253 Consultations

4.9 on 5.0

Dear Query Raiser,

Kindly let know a few things:-

- Where in India you want to by a agricultural Land.

- What is the purpose of such purchase.

- What is the status of your citizenship in USA.

Arun V S
Advocate, Jaipur
64 Answers

4.0 on 5.0

1. You have not mentioned as to in which State you you desire to buy the said agricultural land.

2. In few states, like Karnataka, the agricultural land can not be sold to a non agriculturist or to an agriculturist whose income from sources other than agriculture is more than Rs.2 lakhs per year.

3. Barring the said States you can buy Agricultural land in your name with RBI permission.

4. You shall have to file an application before the RBI giving details of the land you intend to purchase with your NRI/NRE Bank a/c details and also the source of the sale proceeds.

Krishna Kishore Ganguly
Advocate, Kolkata
27191 Answers
726 Consultations

5.0 on 5.0

Dear Client,

Send me the link where u find permission to acquire agriculture property by NRI.

As per the provisions contained in Foreign Exchange Management (Acquisition and Transfer of Immovable Property in India) Regulation 21/2000 (Notification No. 21/2000-RB dated the 3rd May, 2000), an Indian citizen resident outside India and a Person of Indian Origin resident outside India may acquire immovable property in India other than agricultural land, plantation or a farm house.

Yogendra Singh Rajawat
Advocate, Jaipur
22596 Answers
31 Consultations

4.4 on 5.0

Hello,

to the best of my knowledge A person resident outside India (that is, an NRI, a PIO or a foreign national of non-Indian origin) cannot acquire agricultural land/plantation/farm house in India by way of purchase.

You may refer to clause 3.1 of Master Direction 12/ 2015-16 - Acquisition and Transfer of Immovable Property

under Foreign Exchange Management Act, 1999 available at

https://rbi.org.in/scripts/BS_ViewMasterDirections.aspx?id=10196

Anilesh Tewari
Advocate, New Delhi
18077 Answers
377 Consultations

5.0 on 5.0

Let me know if there is some other circular with regards to this.

regards

Anilesh Tewari
Advocate, New Delhi
18077 Answers
377 Consultations

5.0 on 5.0

hi, there is no such permission that is required to be taken from the reserve bank of India ..

Hemant Chaudhary
Advocate, Gurgaon
4630 Answers
67 Consultations

4.9 on 5.0

1. Since NRIs cannot purchase land in India without the prior permission of the RBI you have to make an application in this regard to RBI.

2. Numerous application to this effect are filed everyday and dismissed in a summary manner. RBI is ordinarily loath to grant the permission but if you can show that the source of sale proceeds is legitimate then you may just be fortunate enough to get it.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

A person resident outside India who is a citizen of India (NRI) can acquire by way of purchase, any immovable property in India other than agricultural land/plantation property/farm house. ... b) By way of gift to a person resident in India or a Non resident Indian or a PIO.

Though RBI has given general permission to the NRIs to purchase immovable properties in India, the permission does not grant power to acquire any and every property in India. The NRIs are allowed to purchase only residential or commercial property. So NRIs cannot purchase any agricultural land or plantation property.

T Kalaiselvan
Advocate, Vellore
84713 Answers
2172 Consultations

5.0 on 5.0

contact local lawyer in TN

2) number of lawyers on this website from TN contact any of them

Ajay Sethi
Advocate, Mumbai
94522 Answers
7485 Consultations

5.0 on 5.0

You may contact a lawyer from Mumbai present on this website.

Best of luck

Regards

Anilesh Tewari
Advocate, New Delhi
18077 Answers
377 Consultations

5.0 on 5.0

You shall have to engage a local lawyer or apply through the internet.

Krishna Kishore Ganguly
Advocate, Kolkata
27191 Answers
726 Consultations

5.0 on 5.0

You have to apply to the RBI in the appropriate format and complete all the requisite formalities for the same along with challan for payment.

If they find any objections they will provide you opportunity to cure the same. Once your form is accepted you can go ahead with the purchase.

Prashant Nayak
Advocate, Mumbai
31807 Answers
176 Consultations

4.1 on 5.0

Please ascertain if you are a NRI or not.

If you are not NRI and still an Indian citizen, then you dont need to obtain permission to buy agricultural landed property in India.

You may revert with clarification.

T Kalaiselvan
Advocate, Vellore
84713 Answers
2172 Consultations

5.0 on 5.0

Hi, the proper help and guidance can be provided only when you share the complete details of the case/matter i.e. where the property located, what is its area, your details i.e.residence and identity.

Ganesh Singh
Advocate, New Delhi
6757 Answers
16 Consultations

4.5 on 5.0

it is suggested that you provide the details to the advocate/professional engaged by you only

Ganesh Singh
Advocate, New Delhi
6757 Answers
16 Consultations

4.5 on 5.0

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