[ CALCULATOR ]

US Estate Tax for Indian Investors

As an Indian resident, you are a Non-Resident Alien (NRA) for US tax purposes. Your exemption on US-situs assets is $60,000 — not the $15M for US citizens. Even a modest portfolio of US stocks can create a significant estate tax bill for your heirs. The tax is paid by the estate before assets reach your family.

⚠️
India has no estate tax treaty with the US. Your exemption is only $60,000 — 250× lower than the $15M for US citizens. US stocks and US-domiciled ETFs (VOO, QQQ, VTI) held via any platform — Vested, Groww, IBKR, or directly — are fully exposed. This generally applies if you are not domiciled in the United States for estate tax purposes.
ℹ️ This calculator covers federal US estate tax only (Form 706-NA). It does not cover Indian succession laws or US state-level estate taxes. The $60,000 NRA exemption has not been inflation-adjusted in decades.

What counts as a US-situs asset? — check what you hold

US stocks & US-domiciled ETFsVOO, QQQ, VTI, SCHD, individual US shares — fully exposed, wherever held
Ireland-domiciled UCITS ETFsCSPX, VUAA, VWRA, VUSA on LSE/Euronext — NOT US-situs ✓
US real estate (directly held)Property physically in the US — fully exposed
US bank deposits (interest-bearing)Specifically exempt from NRA estate tax under IRC §2105(b) ✓
Vested / Groww / IBKR US (US stocks)US custodian holds US shares — beneficial ownership is US-situs
IBKR Ireland — cash balance (USD)Irish entity, not US-situs ✓ — but US stocks held there are still exposed

The simplest way to eliminate exposure: replace US-domiciled ETFs (VOO, QQQ) with their Ireland-domiciled equivalents (CSPX, VUAA) via IBKR or a similar global broker.

Your US-Situs Assets

Include: US stocks, US-domiciled ETFs (VOO, QQQ, VTI), US real estate held in your own name. Exclude: UCITS/Ireland ETFs, US bank deposits, assets held via a non-US corporation or fund.
All your assets globally — Indian property, FDs, gold, Indian stocks, PF, EPF, plus the US assets above. Used to pro-rate admin expense deductions per IRC §2106. Leave 0 to assume all assets are US-situs (conservative).
US mortgage or loans directly secured against US-situs property. Fully deductible — not subject to pro-ration. Most Indian investors with only stocks: leave as $0.
US attorney fees, executor fees, court costs for settling the estate. Only the pro-rated share (US assets ÷ worldwide estate) is deductible for NRAs under IRC §2106.
$60,000 for Indian residents (NRAs) under IRC §2102(b). Not inflation-indexed. Has not changed in decades. Override only if a future US–India estate tax treaty is signed.
Used only to display the tax liability in rupees. Adjust to current rate.

Summary

Taxable US Assets

—

after deductions

Tentative Tax

—

graduated rate

NRA Credit ($60K)

—

IRC §2102(b)

Net Tax Due

—

0.00% effective

⚠️ What this means for you

Tax owed vs. US-situs portfolio size — assumes your deductions are constant

You (NRA)
Your portfolio
US citizen ($15M exemption)

Bracket-by-bracket breakdown

Taxable bracket Rate Tax in this bracket Status

Form 706-NA · IRC §2001(c) rate schedule (18%–40%) · NRA unified credit: IRC §2102(b) · India has no US estate tax treaty

Disclaimer: Educational worksheet only — not legal or tax advice. NRA estate tax is determined by domicile (not just residency); US-situs classification depends on asset type and holding structure. Some assets (US Treasuries, US bank deposits) are specifically exempt. The $60,000 NRA exemption is a statutory figure, not inflation-indexed. Switching to Ireland-domiciled UCITS ETFs generally eliminates US estate tax exposure on those investments. Holding through a non-US corporate structure may also reduce or eliminate exposure, but involves significant tax and compliance considerations (Indian tax implications, PFIC/CFC rules, GAAR, and ongoing costs) — consult a qualified US international tax attorney before making any structural changes.

What’s Next?

If you hold US stocks or US-domiciled ETFs, these guides explain how to restructure your holdings to eliminate or reduce US estate tax exposure as an Indian investor.

Hub UCITS ETFs Hub Explore Ireland-domiciled ETFs, fund comparisons, and estate tax shielding strategies. Explore UCITS Hub → Guide Complete UCITS ETF Guide Why Ireland-domiciled ETFs reduce US estate tax exposure and how Indian investors access them. Read Guide →

Related Calculators

Market Returns S&P 500 vs Nifty Calculator See whether global investing could have outpaced INR depreciation over time. Open Calculator → Currency INR Depreciation Calculator Understand how INR depreciation changes the rupee value of dollar assets. Open Calculator → Portfolio Concentration Risk Calculator Check whether you are overly dependent on one stock or employer. Open Calculator →

Frequently Asked Questions