23 May 2026

DTAA India-Australia: NRI Tax Relief Guide 2026

India-Australia DTAA: Overview

The Double Taxation Avoidance Agreement between India and Australia was signed in 1991. It is a comprehensive treaty covering employment income, business profits, dividends, interest, royalties, and capital gains — essential for the growing Indian and Malayali diaspora in Australia.

Key Benefits for Australia NRIs

  • Australian salary: Not taxable in India if you qualify as NRI
  • Interest from NRO accounts: TDS capped at 15% under DTAA (vs 30% without)
  • Dividends from Indian companies: TDS capped at 15% under DTAA
  • Rental income from Indian property: Taxable in India; Australian foreign tax offset available
  • Capital gains on Indian property: Taxable in India; Australia provides foreign tax offset

NRI Status for Australia Residents

Australian residents of Indian origin qualify as NRIs if they spend fewer than 182 days in India in a financial year. The 2020 deemed residency rule applies if Indian-source income exceeds ₹15 lakhs and India visits are 120+ days.

How to Claim India-Australia DTAA Relief

  1. Obtain a Certificate of Residency from the Australian Taxation Office (ATO)
  2. Submit to Indian income payers as TRC along with Form 10F and PAN
  3. File ITR-2 in India claiming DTAA relief under Section 90
  4. Claim foreign income tax offset on Australian tax return for Indian taxes paid

Superannuation & Indian Tax

Australian superannuation funds are not recognised as tax-exempt under the India-Australia DTAA. Contributions and earnings within super may have Indian tax implications if you are deemed an Indian resident. Seek cross-border tax advice if you have significant super balances and Indian income.

NRI Home Loans for Australia-Based NRIs

Australia-based NRIs are eligible for NRI home loans in Kerala. AUD income is considered for eligibility. Blueberry facilitates NRI home loans up to ₹10 Crores for Australia NRIs purchasing property in Kerala.

NRI Home Loan Kerala | Settle in Kerala from Australia | NRI Tax Planning Kerala