What is the default TDS rate on NRO Interest for NRIs?

The default rate is 30%. This is what your bank or AMC deducts if you haven't claimed DTAA benefits. With DTAA, this can drop to 7.5-15% depending on your country.

How much can I save on NRO Interest?

Typical savings range: ₹1,000 - ₹15,000/year. The exact amount depends on your country's DTAA rate and your investment size.

Income type guide

NRO Account Interest TDS

Interest on NRO savings and FDs faces 30% TDS. DTAA reduces this to 10-15%. Most NRIs don't realize NRO interest qualifies for DTAA benefits.

How it works

What happens to your nro interest as an NRI

Banks deduct 30% TDS on all interest earned in NRO accounts (both savings and FD). This includes interest on NRO savings account which is often a small amount but adds up.

30%

Default TDS rate

Varies

DTAA rate by country

NRO Interest rates by country

What each country's treaty says

Sorted by savings potential. 30 countries with a DTAA benefit, 0 with the same rate.

Nigeria

Article 11 — one of the BEST interest rates among all DTAAs

Default → DTAA

30%→7.5%

Save 22.5%

Oman

Article 11 — BETTER than UAE's 12.5%!

Default → DTAA

30%→10%

NRO Account Interest TDS

What happens to your nro interest as an NRI

What each country's treaty says

Overpaying on nro interest?