Does Capital Gains Tax (CGT) apply to NRI/PIO/OCI?
Yes. Long-term and short-term capital gains are taxable in the hands of non-residents.
If you are an NRI/OCI/PIO, you would have to file your income tax returns if you fulfill either of these conditions:
A. Your taxable income in India during the year was above the basic exemption limit of 2.5 lakh
B.You have earned short-term or long-term capital gains from sale of any investments or assets, even if the gains are less than the basic exemption limit. Note: The enhanced exemption limit for senior citizens and women is applicable only to residents and not to non-residents.