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NPS annuity tax rules for Indian expats

Mint Bangalore

|

February 04, 2025

I had applied to secure a Portugal Golden Visa with my children's education in mind. I was granted one recently and now live in Portugal, where I have my own business.

- Harshal Bhuta

Since I'm still an Indian citizen, how will my National Pension System (NPS) annuity be taxed in India? Will it change if I apply for and obtain Portuguese citizenship in the future?

-Name withheld on request

You have not mentioned your period of stay, but assuming you have become a non-resident Indian and a resident of Portugal as you run a business there. I also assume that you do not spend more than the specified threshold period (120 days/182 days) on your visits to India, and therefore do not become a resident under Indian income tax law.

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