A PIO enjoys almost the same rights/privileges as an NRI

I had made some investment in mutual funds and fixed deposits as a non-resident Indian (NRI) living in the UK. Beginning this month, I have taken up UK citizenship and surrendered my Indian passport. Consequently, what is my tax consequence in India? As a foreign citizen, can I continue with my investments or should I get any special permission from any authority? — Datta
Having become a UK citizen, you have become a person of Indian origin (PIO). The rights and privileges enjoyed by an NRI and a PIO are almost identical. You continue to enjoy the same rights and privileges as you enjoyed before changing your citizenship. You may continue with your existing investments just as before. There is no requirement of applying for any fresh permission from any authority.

We have been living in the US since 2001. Before coming to the US, my wife and I had a joint account in Andhra Bank, Hyderabad. So far, we have sent money into that account and issued cheques to family members to draw the money and use it for their needs. Now if I open an NRI account, is it possible to deposit US dollars into that account when I go to India? Can the balance money from Andhra Bank be withdrawn and deposited in the NRI account?
—Venkat Cheeti
When you become an NRI, you should get all your existing resident savings bank accounts in India redesignated as non-resident ordinary (NRO). Accounts that are not needed maybe closed. You can remit funds from abroad to your NRO account(s). If you wish to maintain repatriability of the funds, you can open a fresh non-resident external (NRE) account to remit the funds. So when you say you wish to open a fresh NRI account, it would be either an NRO or an NRE account. Now in your specific case, you can instruct your banker to redesignate your account as NRO. You may continue to use this account just the way you used to before.

The writer is director, Wonderland Consultants, a tax and financial planning firm. He can be reached at sandeep.shanbhag@gmail.com.