Indian residents can legally own shares in US-listed companies. The route runs through the Reserve Bank of India's Liberalised Remittance Scheme, and the process is more straightforward than most first-time investors expect.
What usually causes hesitation is not the legality. It is the mechanics: which account holds the shares, how rupees become dollars, what a trade actually costs once forex markup and TCS are counted, and what happens to the holding if something goes wrong at the broker.
This article walks through the full process end to end, then links out to the articles that go deeper on each step.
Is it legal for an Indian resident to buy US stocks?
Yes. The Liberalised Remittance Scheme permits resident individuals to remit up to USD 250,000 per financial year for a set of permitted purposes, and overseas equity investment is one of them.
The limit is per individual, not per family. Two adults in the same household each have their own USD 250,000 allowance.
Investing through Platizio Global places your account with ViewTrade IFSC, which is regulated by the International Financial Services Centres Authority in GIFT City. For a fuller treatment of the regulatory position and what protects your holdings, see Is Investing in US Stocks Safe and Legal for Indian Residents?
The five steps, in order
Step 1: Complete KYC and open the account
A resident individual needs a valid PAN, proof of identity, proof of address such as Aadhaar, and basic financial and bank details. Onboarding is digital.
Account opening is instant for resident Indians where there are no blockers, and up to 48 hours for NRIs and foreign nationals. There are no account opening or maintenance charges.
Funds can only be added once the account is approved, because the brokerage account number is generated at the end of KYC. This ordering catches people out — you cannot pre-fund.
Step 2: File Form W-8BEN
Form W-8BEN declares to the US withholding agent that you are an Indian tax resident. Filing it reduces US withholding tax on dividends from the 30% default to the 25% rate available under the India–US Double Taxation Avoidance Agreement.
It is worth completing before you hold any dividend-paying security, and it needs renewing periodically. See Form W-8BEN Explained.
Step 3: Remit funds under the LRS
Money moves from your Indian bank account to your US brokerage account under the LRS. From within the platform you can select your bank, download the remittance instructions, and initiate the transfer through net banking. Your bank converts INR to USD and credits the brokerage account.
Two costs attach at this stage, and only one of them is a real cost:
- Forex markup — the spread your bank takes between the interbank rate and the rate it gives you. This is a genuine cost and it is rarely quoted upfront.
- TCS — Tax Collected at Source, at 20% on the portion of your total LRS remittances that exceeds ₹10 lakh in a financial year. The first ₹10 lakh attracts none. TCS is not an extra cost: it is adjustable against your income-tax liability and can be claimed back when you file.
See How to Transfer Money Abroad for US Stock Investing and TCS on LRS Remittances.
Step 4: Place your first trade
Once dollars are in the account, you can buy US-listed stocks and ETFs. Fractional shares mean the share price is no longer a constraint — a share trading at USD 600 is reachable with a much smaller investment, because you buy a fraction of it rather than a whole unit.
US regular trading hours are 7:00 PM to 1:30 AM IST during US daylight saving time and 8:00 PM to 2:30 AM IST the rest of the year. Indian markets close at 3:30 PM IST, so there is no scheduling conflict. See US Stock Market Timings in India.
Step 5: Keep records for tax season
This step is easy to defer and expensive to skip. From the first trade onwards, keep contract notes, remittance records, dividend statements, withholding details and year-end broker statements.
You will need them for two separate obligations: computing capital gains and dividend income, and disclosing the holdings themselves in Schedule FA. The second applies whether or not you made a profit. See Tax on US Stocks in India and Schedule FA.
What it costs, realistically
The headline brokerage figure is only part of the picture. The full cost of getting invested includes:
| Item | When it applies | Is it a real cost? |
|---|---|---|
| Account opening / maintenance | Never | No — there are no such charges |
| Forex markup | Every remittance | Yes |
| Bank wire / SWIFT fee | Every remittance | Yes |
| Brokerage | Every trade | Yes — see Pricing |
| TCS at 20% above ₹10 lakh | Cumulative per PAN per year | No — creditable against tax |
Because the per-remittance costs are largely fixed rather than proportional, fewer and larger transfers are generally more efficient than frequent small ones. This matters more at smaller investment amounts. See Minimum Investment and Real Costs.
Where your shares are actually held
This is the question that most deserves a straight answer, and the answer is more nuanced than "in your demat account".
Securities are custodised in the name of ViewTrade IFSC with DTCC for the benefit of customers. Shares are held in ViewTrade IFSC's name rather than the individual customer's, which is how client assets are protected under US regulations. The ownership and benefit of the account still belong to you as the end client.
This is an IFSC-regulated account, not a standard US brokerage account. US brokerage accounts are covered by SIPC up to USD 500,000 in total, including up to USD 250,000 for cash. SIPC protects against the failure of a brokerage firm; it does not protect against a fall in the market value of your investments.
Getting money back to India
Worth understanding before the first deposit, not after. You sell the securities, the proceeds settle on a T+1 basis, and you then place a withdrawal request specifying the amount and your bank details. The receiving account must be in your own name.
See How to Withdraw Money from US Stocks Back to India.
Common mistakes
- Skipping Form W-8BEN. Leaves 30% withheld on dividends instead of 25%, for no reason.
- Treating TCS as a cost. It is a prepayment of your own tax, recoverable when you file.
- Assuming the ₹1.25 lakh LTCG exemption applies. It does not — that exemption is for Indian listed equity only.
- Ignoring Schedule FA. Disclosure is triggered by holding the asset, not by making a gain.
- Remitting small amounts frequently. Fixed per-transfer costs make this inefficient.
Conclusion
The route is well established: KYC, W-8BEN, remit under the LRS, trade, keep records. None of the individual steps is difficult. What separates a smooth experience from a frustrating one is understanding the cost structure before you start and treating the record-keeping as part of the process rather than an afterthought.
Ready to begin? See the step-by-step User Guide or what you can invest in.
Disclaimer: This article is for educational purposes only and should not be treated as investment, tax, legal, or financial advice. Rules and rates stated are current as of August 2026 and can change. Investors should consult a qualified CA, tax advisor, or financial professional before making investment decisions. Please also read our Risk Disclosure and Disclaimer.