NRI is buying land with wife name , Can we get back that money to U.S later through NRE account?

Question

Thanks for your help in advance

1. I have sent the money to NRE account.
2. From my NRE account I transfered money to my wife Indian account to buy the land.
3. My wife ( She is dependent on me having H4 visa) bought the land/plot on her name since she was visiting during that time.
4. After two years we are planning to sell that land with profit.
5. Now I want to get entire money back to U.S, Is it possible?
6. I am fine to pay on tax on profit either to Indian or U.S government. At least can I get the money what ever we invested initially?
7. How do we get back to U.S?

Please help me,
Thanks,Reddy

Answer 1

If you had purchased the land directly from your NRI account in your name [with power of attorney] in your wife's name, it would have been very simple to get the funds back.

Whenever you sell the land, transfer the funds into NRO account. From NRO account you can repatriate back USD 1 Million. A CA certificate is required detailing the purpose and that tax is paid on the funds, talk to your bank and it should be easy.

The gains will be taxable in India as well as in the US. You can claim rebate to the extent of taxes paid in India.