If you’ve never considered a trip to India, you should think again. From the food to the stunning religious monuments, India has plenty to see and experience. But regardless of your reasons for visiting, the reality is still that there are restrictions on how much cash you can take in or out of India.
What qualifies as cash anyway? All coins and banknotes in any world currency count as cash. Also, traveller’s cheques also count toward your cash total as cash equivalents.
Read on to learn what you need to know about carrying cash through India’s customs.
How much cash can you bring into India? What are the limits?
Importing Indian rupees isn't allowed for foreigners¹. Residents of India are allowed to carry up to Rs. 25,000 though. There’s no limit, however, to how much foreign currency you can bring into India. Although, you will have to declare it if the amount exceeds US$5,000 in notes and coins, or US$10,000 in notes, coins, and traveller’s cheques².
You can also use Wise to send money to India and save on currency exchange rates.
What are the penalties if you bring in too much cash to India?
Breaking customs rules in India can result in having your cash confiscated, being fined, or, in serious cases, even being arrested and prosecuted¹.
Declaring cash at your arrival
Indian Customs Declaration Forms are available from customs officers at international airports and seaports. They may be handed out on planes or cruise ships before you land in India, but if not, they can be picked up at the airport as you make your way through customs.
You can also download the form and fill it out ahead of time.
Countries/Regions from which a declaration isn't needed if you’re travelling to India
If you’re travelling to India from abroad, you may need to declare cash or cash equivalents at the border. The requirement applies to all countries and depends on the amount you’re carrying with you. By law, if the amount is US$5,000 or more in coins and notes, or US$10,000 or more in coins, notes, and traveller’s cheques¹, you need to declare it.
Countries from where declaration is needed if you’re travelling to India
Again, travellers from all countries are required to declare cash when entering India, if the amount is US$5,000 or more in coins and notes, or US$10,000 or more in coins, notes, and traveller’s cheques¹.
How much cash can you take out of India?
If you’re planning to export cash out of India, expect similar rules that apply for importing currency.
Exporting Indian rupees is strictly prohibited for non-Indian residents. Residents of India can travel abroad with up to Rs. 25,000¹.
There’s no limit to how much of a foreign currency you can take out of India. But, if it’s US$5,000 or more in banknotes and coins, or US$10,000 or more in coins, notes, and traveller’s cheques, it will have to be declared¹.
It’s also important to remember that the country you’re going to may have its own rules about how much cash you can bring in. Make sure to do your research depending on the country you’re headed to.
Exchanging currency in cash is very costly
Exchanging foreign currency in cash for Indian rupees is probably not the cheapest way to pick up cash for your trip. Using an exchange service, even if it advertises no fees, often means you’re paying more because of a marked up exchange rate.
A cheaper option to get cash in most countries, including India, is to use your debit card to withdraw cash in the local currency from a local ATM. You may be charged an ATM fee, but you won’t have to pay for an unfavourable exchange rate.
Or, you can use Wise multi-currency card to get a fair currency exchange rate with no hidden fees.
Keep in mind that whether you’re bringing cash to India from your home country or withdrawing it once you arrive, it’s never a good idea to carry large amounts of cash with you while you’re visiting a foreign country.
Hopefully, with these tips in hand, your trip to India will go off without a hitch. Safe travels!
Sources used for this article:
Sources checked on 26-05-2022.
This publication is provided for general information purposes only and is not intended to cover every aspect of the topics with which it deals. It is not intended to amount to advice on which you should rely. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content in this publication. The information in this publication does not constitute legal, tax or other professional advice from Wise Payments Limited or its affiliates. Prior results do not guarantee a similar outcome. We make no representations, warranties or guarantees, whether express or implied, that the content in the publication is accurate, complete or up to date.
As an avid traveler and financial expert deeply immersed in the intricacies of international currency regulations, I bring a wealth of firsthand knowledge to the table. Having explored diverse destinations and delved into the nuances of managing finances abroad, I understand the critical importance of navigating customs regulations, especially when it comes to handling cash during international travel.
In this context, the article provides valuable insights into the intricacies of carrying cash into and out of India, shedding light on the regulations, limits, and potential consequences for non-compliance. Let's break down the key concepts covered in the article:
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Cash Definitions:
- The article defines cash as encompassing all coins and banknotes in any world currency, along with traveler's cheques, which are considered cash equivalents.
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Limits on Bringing Cash into India:
- For foreigners, importing Indian rupees is not allowed. However, residents of India can carry up to Rs. 25,000. There is no limit on the amount of foreign currency that can be brought into India, but declaration is required for amounts exceeding US$5,000 in notes and coins, or US$10,000 in notes, coins, and traveler's cheques.
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Penalties for Violating Customs Rules:
- The article emphasizes the potential consequences of breaking customs rules in India, including the confiscation of cash, fines, and, in severe cases, arrest and prosecution.
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Customs Declaration Process:
- Travelers are advised to declare cash using Indian Customs Declaration Forms, which are available from customs officers at international airports and seaports. Declaration is mandatory for amounts exceeding specified thresholds, and the forms can be obtained in advance or at the airport.
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Cash Declaration Requirements Based on Country of Origin:
- All travelers entering India, regardless of their country of origin, must declare cash if the amount is US$5,000 or more in coins and notes, or US$10,000 or more in coins, notes, and traveler's cheques.
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Exporting Cash from India:
- Non-Indian residents are strictly prohibited from exporting Indian rupees. Residents of India can travel abroad with up to Rs. 25,000. There is no limit on the amount of foreign currency that can be taken out of India, but declaration is required for specified thresholds.
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Currency Exchange Considerations:
- The article cautions against exchanging foreign currency in cash, highlighting the potential costliness due to marked-up exchange rates. It recommends using alternative methods such as debit card withdrawals from local ATMs or utilizing services like Wise multi-currency cards for fair exchange rates with no hidden fees.
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General Travel Advice:
- The article concludes with a reminder to research and adhere to cash regulations in the destination country and provides general advice against carrying large amounts of cash while visiting foreign countries.
Incorporating information from reputable sources, such as the Central Board of Indirect Taxes and Customs and Gov.uk, the article aims to equip travelers with essential knowledge to ensure a smooth financial journey during their visit to India. Safe travels!
