However, there is no limit to the amount of foreign currency you can bring into India. However, if the sum exceeds US $5,000 in notes and coins or US $10,000 in notes, coins, and traveler's cheques, you must disclose it. You may, however, send money to India via services like as Wise or Western Union. They will charge a fee for doing so.
The best way to move money to India is by using a bank card. There are several credit card companies that offer cards with no annual fee. These include American Express, Diners Club, MasterCard, and Visa. Before you use your card at an Indian store, call them up and ask what kind of security measures they take to prevent fraud. If you have any doubts, then don't use the card.
If you do want to use cash, then the easiest way to transfer funds to India is through a money remitter service. These firms usually charge a fee for their services, but they can be useful if you need to send money quickly. Examples include Weller, Yodlee, and Currency Direct.
You can also send money directly from your bank account to India. This is easy to do online, but it has a processing time of about 10 days. The rate offered by banks varies; check with yours how much it charges per transaction.
Finally, you can deposit money in the Indian banking system.
The maximum amount of foreign currency notes that a person can bring into India is USD 3,000, and if this amount is exceeded, the individual must report it by submitting a Currency Declaration Form (CDF). There are no restrictions on carrying foreign exchange into India for a person visiting from the United States...
People can carry up to $10,000 worth of foreign currency into India without having to file any declaration. However, they must submit a declaration if their total foreign currency holdings exceed $10,000.
In addition to the limit on cash, people are also prohibited from carrying more than US$5,000 in monetary instruments such as checks, credit cards, debit cards, or smart cards into India. If an individual violates these regulations, he or she can be denied entry into India.
There have been cases where individuals have been denied entry into India with violations involving more than $10,000 in foreign currency. In such cases, the traveler's name was placed on the "Black List" and he or she could be denied future access to India.
However, if someone who has been placed on the "Black List" can prove that he or she had a valid reason for carrying over $10,000 in foreign currency, then this would not be a problem. For example, one good reason might be if you were traveling on an Indian passport.
However, amounts exceeding USD 5,000 or equivalent and foreign exchange in the form of currency notes, bank notes or traveller's cheques exceeding USD 10,000 or its equivalent must be declared to customs. There is a limit of INR 25,000 per person for Indian residents to carry from India to the US. The amount can be in cash or in the form of travellers' cheques.
In fact, there is no restriction on the amount of money that an Indian citizen can bring into the United States. However, the government does impose a tax on all amounts brought in over $10,000. This tax varies depending on how the money is carried and includes a percentage plus a flat fee. Before you travel, check what percentage applies to you, as this will determine whether or not it's worth paying the extra fees charged by banks for providing credit cards as well as the additional expense of travelling with cash.
The total amount of income tax paid by an individual is not calculated based on the amount of money he or she carries but rather upon their worldwide income. Thus, even if an Indian carrier is not required to file US Income Tax Return (ITR), they are still obliged to declare all their income from all sources including investment earnings, interest, capital gains, etc. to the local authority before entering the country.
There are no restrictions on bringing foreign currency into India. If the value of foreign currency in cash exceeds US $5,000 and/or the cash plus TCs exceeds US $10,000, it must be notified to customs officials at the airport on the currency declaration form (CDF) upon arrival in India. The CDF should be filed with Indian customs within 30 days of departure from India.
However, if you plan to export any amount of foreign currency out of India, then you must file a Customs Notification Form (CNFT) to declare the currency. You can find more information on exporting currency from India here: http://www.adb.org/countries-and-territories/india/exporting-currency
The CBN has advised that people who travel abroad should understand the importation regulations of the country they are travelling to to avoid any inconvenience later. It is recommended that you contact the nearest Indian embassy or consulate to find out about any special requirements like visa applications for Indians living outside India.