what is nro account

An NRO (Non-Resident Ordinary) account is a type of bank account designed for Non-Resident Indians (NRIs) to manage their income earned in India. It allows NRIs to deposit and manage their income in India, such as dividends, pension, rent, etc. The account can receive funds in either Indian or foreign currency, but only Indian currency can be withdrawn. NRO accounts can be opened jointly with an Indian resident or another NRI, and funds can be transferred from a current NRE account to the NRO account. However, the interest earned in an NRO account is subject to Tax Deducted at Source (TDS) .