Sending Money to India as a L-1 Visa Holder
Guide for L-1 Visa holders sending USD to INR. Tax rules, transfer limits, documentation, and how Root works for your visa status.
L-1 Visa holders can send money from the USA to India without restrictions based on their visa status. Your ability to remit funds depends on U.S. banking rules and recipient bank details in India, not your immigration status. You’ll need a valid ID, U.S. bank account, and recipient’s IFSC code and account number. This guide covers key considerations, steps to send, and regulatory details specific to intracompany transferees.
Your L-1 Visa status does not impose any limitations on sending money from the U.S. to India. As an NRI, you are free to transfer funds internationally as long as the purpose is legitimate under FEMA guidelines. There are no remittance caps tied to your visa type, only standard regulatory requirements on the Indian side.
What You Need to Know
TCS Applies on Large Transfers
If the total remittances to India exceed ₹7,00,000 in a financial year, 5% Tax Collected at Source (TCS) applies under LRS rules. While you’re not an Indian resident, Indian banks may apply this when funds are credited—confirm with recipient’s bank.
Recipient Account Type Matters
Ensure your recipient uses an eligible Indian account—NRO, NRE, or regular savings/current account. Root currently supports NRO and regular accounts; NRE support is coming soon.
IFSC Code Accuracy is Critical
An incorrect IFSC code can delay or misroute your transfer. Always verify the 11-digit code with the recipient through official banking sources or cheques.
Purpose Code Compliance
Under FEMA, you must select a valid purpose code (e.g., family maintenance, gift, investment). Avoid prohibited purposes like gambling or real estate speculation which violate Indian regulations.
How to Send — Step by Step
Verify Your Identity
Upload a clear copy of your passport and U.S. visa (L-1) during onboarding to comply with U.S. and Indian KYC norms.
Pro tip: Use high-resolution images to avoid processing delays.
Link Your U.S. Bank Account
Provide your U.S. bank account and routing numbers. Root uses secure verification methods like micro-deposits or instant verification via Plaid.
Pro tip: Ensure account is in your name and is a checking account for best results.
Add Recipient's Indian Bank Details
Enter recipient’s full name, account number, and IFSC code. Confirm if they’re using an NRO or savings account, as NRE support is not yet available.
Pro tip: Double-check the IFSC code on the RBI website or bank’s official portal.
Enter Transfer Amount in USD
Input the USD amount you wish to send. Root shows the live INR equivalent using the interbank rate with no markup.
Pro tip: Consider splitting large transfers above ₹7L to manage TCS implications.
Select Purpose of Remittance
Choose the appropriate purpose code such as 'Family Maintenance' or 'Gift to Relative' as per FEMA guidelines.
Pro tip: Keep documentation (e.g., family relationship proof) handy in case of bank queries.
Review and Send
Confirm all details including fees (Root charges zero fees) and exchange rate (CHECK_LIVE). Once sent, track the transfer in real-time.
Pro tip: Transfers typically arrive in 1-2 business days.
Regulatory Notes
TCS on High-Value Remittances
5% TCS is applied by Indian financial institutions on aggregate remittances exceeding ₹7,00,000 in a fiscal year (Apr-Mar) under LRS. While L-1 holders aren’t subject to LRS limits, recipient banks may collect TCS—discuss with them to plan accordingly.
FEMA Compliance Required
All remittances to India must comply with FEMA regulations. Prohibited purposes include gambling, lottery, and purchasing restricted assets. Ensure your transfer purpose is valid and documented if needed.
No U.S. Excise Tax Currently
As of early 2026, the proposed 1% U.S. excise tax on international wire transfers has not been enacted. Monitor updates, but currently no federal tax is applied on outbound remittances from the U.S.
Send Money to India as a L-1 Visa Holder
Root works for all visa statuses. Zero fees, interbank rate.
Get Started with RootFrequently Asked Questions
Does my L-1 Visa status limit how much I can send to India?
No. Your L-1 Visa does not impose any limits on how much money you can send to India. Transfers are governed by U.S. banking rules and recipient-side Indian regulations like TCS, not your visa category.
Do I need to report remittances to the IRS or USCIS?
No, sending money to India is not a reportable event for USCIS or immigration purposes. However, large transfers may need to be disclosed on U.S. gift tax forms (e.g., Form 709) if over $17,000 annually per recipient. Consult a tax advisor.
Will TCS affect my transfer as an NRI on an L-1 Visa?
TCS is levied on the recipient side under LRS when total remittances exceed ₹7,00,000 in a financial year. While NRIs aren’t under LRS, some Indian banks apply TCS universally. Recipient may need PAN to claim credit; CHECK_LIVE with their bank.
Can I send money to an NRE account from the U.S. on Root?
Not yet. Root currently supports NRO and regular savings/current accounts in India. NRE account support is coming soon. For now, use an NRO or standard account for seamless transfers.
Is my recipient required to have a PAN card?
Yes, for transfers above ₹50,000, Indian banks often require the recipient’s PAN for regulatory reporting, especially for NRO accounts. TCS refunds also require PAN to be claimed during tax filing.