No. There are no taxes on money transferred from India to the US in India.

Avoid Double Taxes on money transferred from India to the US

However, In order to avoid tax implications in the USA, you need to declare the source of income in the US. NRIs in the USA must consult their CPA (Certified Public Accountant) to avoid any tax implications there.

Note: NRIs need not pay double taxes. There is a provision called DTAA (Double Taxation Avoidance Treaty). If the DTAA is signed between India and the country of residence of the NRI, the NRI will not be paying double taxes on the same source of income. NRIs will however need to pay differential taxes. (For example: If for a certain investment, taxes are 30% in India and 40% in the USA, NRIs from the USA need to pay the remaining 10% there.)

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India has signed DTAA with more than 85+ countries all around the globe including USA, UK, Saudi Arabia and UAE. You can check the list of the countries and find additional information regarding DTAA here: View list

Taxes on sending money from India to USA based on the account chosen:

NRE: The NRE account can be opened for the purpose of maintaining the income earned outside India with tax free interest (upto 7.60%) on Fixed Deposits. Both the principal amount and interest earned are freely and completely repatriable from India.

NRO: Only the interest earned on NRO Deposits is taxable in India: 30% tax + surcharge + education cess* is deducted at the source of interest earned in India. The repatriation of the money in the account can be done up to a maximum of 1 million USD per financial year.

FCNR: FCNR deposits are tax-free in India. The principal amount as well as the interest are freely and completely repatriable.

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Receive money from abroad in India

There are multiple options to send money to India from abroad. Refer the table below to know the charges for sending money to India from abroad and choose the best suited medium for yourself.

*Money Transfer Operators: Money transfer operators (MTOs) are financial companies (but usually not banks) engaged in cross border transfer of funds using either their internal system or using their collaborations with other international banking networks. Eg: Transferwise, Western Union. 

*SWIFT: Society for Worldwide Inter-bank Financial Telecommunication (Offline money transfer facility that can be availed at bank branches overseas)

*Foreign Currency Demand Drafts: A form of demand draft made in foreign currency at various bank branches located overseas to remit money to India. The equivalent amount in INR will be debited for remittance. 

Note: The receiver will receive the money either in their own/partner bank accounts or as cash from the agents of the respective firms/banks chosen for money transfer.

The summary of the table (based upon the time and the charges of sending money to India from abroad): 

USA: 

Less time, high cost: Agents

More time, low cost: Foreign Currency DD/ Swift Transfers

Moderate time and cost: Money Transfer Operators (Transferwise),Call Centres

Dubai:

Less time, high cost: Money Transfer Operators (Transferwise)

More time, low cost: Foreign Currency DD/ Swift Transfers

Moderate time and cost: Internet Banking

Saudi Arabia:

Less time, high cost: Agents

More time, low cost: Foreign Currency DD

Moderate time and cost: Call Centres

UK:

Less time, high cost: Agents

More time, low cost: Foreign Currency DD/ Swift Transfers

Moderate time and cost: Call Centres

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