# Indian students in US face four separate tests to invest in stocks 2026-08-10T11:51:56+00:00 | Governance | Indian Opinion Desk Corroboration: 1 independent outlet Indian students in the US cannot rely on their visa alone when investing in stocks, according to tax experts. Status under FEMA, Indian income tax law, and US tax rules are four separate tests. Under FEMA, a student abroad is treated as a person resident outside India, so Indian investments follow the NRI framework. But Indian tax residency is decided independently under Section 6 of the Income Tax Act, 2025. Non-resident status under Indian tax limits Indian taxation to income received or accruing in India. On the US side, an F-1 student may qualify for the student exception under the substantial presence test. Students present in the US for 183 days or more face special capital gains rules. Nishant Shanker of Navraj Global Advisors stressed that visa status, FEMA residency, Indian tax residency and US tax residency are four separate determinations. Students should establish each before investing to avoid unexpected tax liabilities. Livemint reports that dividends and gains from Indian securities can remain taxable in India, while US investment taxation depends on the student's US tax status. ## Coverage - livemint.com Tags: FEMA, Income tax, Indian students, NRI rules, stock investment, US Canonical: https://indianopinion.org/indian-students-in-us-face-four-separate-tests-to-invest-in-stocks/ License: Summary and commentary (c) Indian Opinion, reusable with attribution. Facts belong to the linked sources. Cite: https://indianopinion.org/indian-students-in-us-face-four-separate-tests-to-invest-in-stocks/#story-in-brief Review state: restored archive article, accurate at time of publication, not offered to search indexes.