NRIs in UAE Are Getting Foreign Asset Disclosure Notices: Why It’s Happening & What To Do
A number of NRIs in the UAE have reported receiving official emails and SMS alerts from the Indian Income Tax Department, asking them to disclose their foreign assets and bank holdings.
While this may sound alarming, experts say it’s part of India’s increased compliance and data-sharing efforts under the Automatic Exchange of Information (AEOI) framework with global financial institutions.
“It’s not a penalty notice , it’s a compliance verification step. The aim is transparency,” said a Dubai-based tax consultant.
Why You Might Have Received This
Your Indian PAN is still active and linked to financial transactions abroad.
You have bank accounts, mutual funds, or properties registered under your name outside India.
You previously filed taxes in India but did not update your residential status as “NRI”.
What You Should Do
Don’t panic or ignore the notice. Log in to your income tax e-filing portal to verify details.
Check your residential status. Update to “NRI” if you have been outside India for more than 182 days in a financial year.
Disclose foreign assets truthfully. Include overseas accounts, investments, or property.
Consult a qualified tax advisor , ideally one familiar with UAE-India double taxation rules.
Failure to disclose accurately could attract fines, but timely correction avoids future complications.
