• Any way that NRI can buy agricultural land?

Hello 
One of my wish is to buy agricultural land and do Bio farming. As am NRI at the moment I got enough savings to buy some agricultural land. And I may plan on coming years to start Bio farming.
We got one good deal present. So am thinking to buy on my own brother name and then I want to transfer when I moved to India.is this a good idea? I know it's matter of trust between brothers. But is there any alternative?
Regards
Suresh
Asked 4 years ago in Property Law
Religion: Hindu

4 answers received in 10 minutes.

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18 Answers

Hi, yes later on he can make a transfer deed in your favour ..

Hemant Chaudhary
Advocate, Gurgaon
4619 Answers
67 Consultations

4.9 on 5.0

Hi,

As you said, it's matter of trust between brothers. If you have any apprehension, you are suggested to enter into an agreement for transfer of land to you or return of your money.

Ganesh Singh
Advocate, New Delhi
6646 Answers
16 Consultations

4.5 on 5.0

In certain states only an agriculturist can purchase such land whereas there are no restrictions in other states. So your brother would have to be agriculturist or would have to seek permission from the authorities (Deputy Commissioner in most States )in order to buy the agricultural land.

All over India, NRIs and PIOs can’t purchase agricultural land/plantation property/farm houses. They can, however, inherit agricultural lands.

According to FEMA21/2000 RBI rules dated May 3, 2000, an NRI or PIO cannot acquire agricultural land /farm house/plantation property in India.

Siddharth Jain
Advocate, New Delhi
5925 Answers
101 Consultations

5.0 on 5.0

Sir the NRI in India cannot purchase the agriculture land and the farm land and the plantation there are guidelines prohibiting purchase of farm land by the NRI.

So purchase land in name of some relatives who you can trust further taking care of benami act and then can do farming.

Shubham Jhajharia
Advocate, Ahmedabad
25516 Answers
179 Consultations

5.0 on 5.0

NRI cannot purchase agricultural land in India

2) in many states only agriculturist can purchase agricultural land

3)NRI cannot purchase agricultural land

4) if your brother is agriculturist he can purchase agricultural land

Ajay Sethi
Advocate, Mumbai
87895 Answers
6207 Consultations

5.0 on 5.0

Dear Client,

You cannot even buy indirectly, you have to gift money to your brother than he will purchase from his own contribution. ( gift will make him absolute owner of money) than after acquiring resident Indian status than this land can be transferred in your name if not back stepped.

Yogendra Singh Rajawat
Advocate, Jaipur
21481 Answers
31 Consultations

4.4 on 5.0

Hello,

1) You can buy the agricultural land in the name of your brother provided he is an agriculturist. In India an NRI cannot buy an agricultural land as per the existing laws.

2) As you rightly said, it is a matter of trust as to whether your brother will willingly transfer the property to you when you have come back to India . You can transfer the amount to your brother's account to create a proof of payment so that in case of resistance you have something to hold on.

S J Mathew
Advocate, Mumbai
3381 Answers
175 Consultations

5.0 on 5.0

Dear Sir,

Please kindly be read the following information:

Purchase of Agricultural Land in India by NRIs –

•Nri’s cannot buy agricultural land in India. Yes! all over India as above. Approval is required from the Reserve bank of India which one can assume is not easily available and this would depend on individual circumstances.

•Furthermore, 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.

•OCI holders residing in India by virtue of their OCI status are still foreign citizens and should realize that OCI grants them visa for life to stay in India but does not give them Indian citizenship. They still hold foreign passports

•NRIs and Foreign citizens of Indian origin cannot acquire agricultural land by way of gift. They can only acquire agricultural land by inheritance.

Netravathi Kalaskar
Advocate, Bengaluru
4952 Answers
27 Consultations

4.8 on 5.0

1) Yes, you can on name of you brother and at the same time you can take POA on your name plus get registered that same as well within month or two.

2) Or second option you can buy the property and BIO company jointly 95% share and rights on your and 5% on your brother name for all current transaction.

If you require any further consultation can call me and which area or state do you want to buy the property.

Ganesh Kadam
Advocate, Pune
12335 Answers
191 Consultations

4.9 on 5.0

A person resident outside India cannot acquire agricultural land/plantation/farm house in India by way of purchase.

Mohammed Mujeeb
Advocate, Hyderabad
19029 Answers
32 Consultations

4.5 on 5.0

you cannot purchase agricultural land without prior permission of the reserve bank of india. It'll treated as foreign investment and no fdi is possible without prior permission of the RBI

Shivendra Pratap Singh
Advocate, Lucknow
5127 Answers
78 Consultations

4.9 on 5.0

1. NRI can buy Agricultural Land, by taking proper permission from the district Collector's office, by following due procedure of law.

2. IF Land is purchased in name of brother, THEN the same can be transferred to you via a Gift Deed.

Keep Smiling .... Hemant Agarwal

Hemant Agarwal
Advocate, Mumbai
5612 Answers
25 Consultations

5.0 on 5.0

1. NRI cannot purchase agricultural land in India without the permission of RBI which is next to impossible.

2. Legislations have been passed in some states which prohibit purchase of agricultural land by non-agriculturalists. If your brother is an agriculturalist he can purchase the agricultural land.

Ashish Davessar
Advocate, Jaipur
30761 Answers
971 Consultations

5.0 on 5.0

Normally no but if you wish to go for agricultural for me you can form a company in this regard for bio farming and you become the shareholder in the company to go on bio farming business.

The company mein from its fund purchase the land and do the bio farming

Vimlesh Prasad Mishra
Advocate, Lucknow
6848 Answers
23 Consultations

4.9 on 5.0

Hi sir,

According to FEMA21/2000 RBI rules dated May 3, 2000, an NRI or PIO cannot acquire agricultural land /farm house/plantation property in India.

If an NRI does so, then it will be a violation of FEMA laws that can result in a penalty or even confutation of such property. To purchase an agricultural property in India, an NRI has to take a prior approval from RBI (Reserve Bank of India), or he/she can acquire this property only by way of inheritance.

An NRI can sell his agricultural land/plantation/ farm house in India to an Indian citizen resident only.

The only way to get agricultural land is through inheritances. If ur brother is resident of India then you can buy in his name but you should think twice about the future if he turns out. Or else you must have an indian citizenship and address proof thats sufficient.

Koushalya Pattan
Advocate, Bangalore
174 Answers

Not rated

Hello,

Yes this is a good idea.

there is no problem in the same if you trust your brother.

you may also take a POA from your brother at the time of registration of the property.

Regards

Anilesh Tewari
Advocate, New Delhi
17940 Answers
377 Consultations

5.0 on 5.0

1. You are a NRI but an Indian Citizen as of now.

2. You can buy the land directly in your name provided there is no bar introduced by your State (where you shall buy the land) in buying agricultural land by a non agriculturist (like Karnataka).

Krishna Kishore Ganguly
Advocate, Kolkata
26602 Answers
726 Consultations

5.0 on 5.0

A NRI cannot buy agricultural land in India.

A resident cannot transfer the agricultural land to his NRI relative by any means or method.

A NRI can inherit the agricultural property in India.

T Kalaiselvan
Advocate, Vellore
78050 Answers
1543 Consultations

5.0 on 5.0

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