Can I invest in us stocks from india? Yes! Our 2026 guide explains RBI LRS rules, the ₹10 lakh TCS threshold, and how Appreciate with Prime Scroll makes global investing seamless.
The short answer is yes. In 2026, the question is no longer "if" you can, but how to do it efficiently within the current regulatory framework. For Indian residents, the US stock market offers a world of opportunities, from tech giants to innovative ETFs.
However, global investing is governed by specific rules set by the Reserve Bank of India (RBI). In this guide, we break down the eligibility, limits, and tax rules to help you start your journey with Appreciate.
Who Can Invest? Eligibility Criteria
Under the Foreign Exchange Management Act (FEMA), the following individuals are eligible to invest in US securities:
- Resident Individuals: Any individual residing in India is eligible, including students and minors (with a natural guardian's signature on Form A2).
- Mandatory Documents: You must have a valid Permanent Account Number (PAN) and Aadhaar card for identity and address verification.
- Non-Eligible Entities: The scheme is strictly for individuals. Corporates, partnership firms, Hindu Undivided Families (HUFs), and trusts cannot use this specific route for overseas investments.
Understanding the RBI Limits: The LRS Scheme
The cornerstone of international investing for Indians is the Liberalised Remittance Scheme (LRS).
- Annual Limit: Every resident individual can remit up to USD 250,000 per financial year (April 1 to March 31). This is an aggregate limit that includes all foreign spends like travel, education, and gifts, alongside investments.
- Family Consolidation: Each family member, including minors, has their own separate $250,000 limit. A family of four could potentially invest up to $1 million annually, provided each person is a co-owner of the investment.
- Prohibited Activities: You cannot use LRS funds for speculative activities such as margin trading, lottery, or gambling.
New TCS Rules for 2026
Tax Collected at Source (TCS) is an advance tax collected by your bank during remittance. As of February 2026, here are the applicable rates for investment purposes:
- Threshold: No TCS is levied on total remittances up to ₹10 lakh in a financial year.
- Investment Remittances: For amounts exceeding ₹10 lakh, a 20% TCS rate applies to the excess amount.
- Refundable Nature: Importantly, TCS is not an extra tax; it is adjustable against your final tax liability and can be claimed as a refund when you file your Income Tax Return (ITR).
Taxation on US Stock Gains
When you sell your US stocks or receive dividends, the following Indian tax rules apply:
- Dividends: Taxed as per your Indian income tax slab. While the US deducts a 25% withholding tax, you can claim Foreign Tax Credit (FTC) in India under the Double Taxation Avoidance Agreement (DTAA).
- Capital Gains: * Short-Term (Held < 24 months): Taxed at your regular income tax slab rates.
- Long-Term (Held ≥ 24 months): Taxed at a flat 12.5% rate without indexation benefits.
Invest Smarter with Appreciate and Prime Scroll
Knowing "can I invest in us stocks from india" is only the first step. Navigating the market requires a platform that understands these regulations. Appreciate simplifies this with its Prime Scroll technology, designed to provide a frictionless navigation experience for tracking global indices and executing trades.
- Paperless Onboarding: Complete your KYC and W-8BEN forms digitally in minutes.
- Fractional Shares: Start small by buying as little as $1 of your favorite companies.
- Compliance Reports: Get automated Schedule FA and FSI reports to make your ITR filing seamless.