Every year, millions of people travel to India for various reasons ranging from business to leisure. No matter your motives for visiting, there are restrictions in place regarding how much cash you can bring or take out of the country. So, how much cash can you carry from Canada to India?
You can take any amount of cash from Canada to India, but there are declaration rules. You must declare any amount up to CA$10,000 before leaving Canada and any amount of at least US$5,000 in India. There are penalties for noncompliance. In India, banknotes and traveler’s cheques count as cash.
However, foreigners can’t take Indian rupees into the country. When traveling to a foreign country, some tips can save you the hassle of foreign exchange. This article discusses the amount of cash Canadians can take into India and the general rules on bringing cash into the country.
How Much Can Foreigners Bring into India
When visiting India from another country, there’s no limit on the foreign exchange you can bring. However, you will have to declare it to the customs where the aggregate value of the cash with you exceeds US$5000 or its equivalent. Also, when the aggregate value of the foreign exchange, including cash and traveller’s cheque more than US$10,000 or its equivalent, you must declare it. But you can’t import Indian Rupees into India.
How Much Can Cash Can You Take Out of Canada
As a Canadian, you also need to be familiar with the rules for carrying cash across Canadian borders. When entering or leaving Canada, you must declare any cash or monetary instruments up to or more than CA$10,000 to customs. Monetary instruments, in this case, include traveller’s cheque, stocks, bonds, cheques, and bank drafts. You can declare by reporting to the Canada Border Services Agency office at the airport before going for security clearance.
Suppose you’re travelling by any other means. In that case, you’ll have to report to the nearest CBSA office before embarking on your journey, and you’ll complete the Cross-Border Currency or Monetary Instruments Report – Individual (Form E677).
Failure to report gives the CBSA the authority to seize the cash and only return it after you’ve paid a fine that can be between CA$250 – CA$5,000.
What Qualifies As Cash In India?
When travelling to India, you must know what amounts to cash so that you’ll be able to declare all that’s necessary. In India, every country’s banknote and coins will be considered cash. Your traveller’s cheque will also count as cash. No matter which country you’re travelling from, you’ll have to declare the amount you’re holding once it exceeds the stipulated.
In order to declare your cash when you get to India, you’ll need the Indian Customs Declaration Forms. You can get this form from customs officers at every international point of entry in the country or even on the plane. You can also download the form online and fill it out in advance.
Penalties For Breaking Custom Rules in India
It’s important to abide by the laws and rules when in a foreign country. This is even more important for financial matters. Thus, complying with the customs rules in India is very important. Failure to comply usually leads to confiscation of your money and fines. Authorities will usually hold the cash until you submit proof and sufficient documentation. In some extreme cases, it could even lead to arrest and prosecution.
Currency Rules for India Residents
Any person who lives in India and goes out temporarily can enter the country on his return with not more than Rs. 25,000. The only exception would be if such a resident was visiting Nepal or Bhutan. Resident Indians travelling abroad can carry foreign currency up to $3,000 for each trip. This limit applies to travelling to most countries except Bhutan, Russian Federation, Iraq, Nepal, Libya, and others. For those travelling, they can buy from an authorized dealer.
In accordance with the law, you can buy foreign exchange with cash for up to Rs. 50,000. Where the amount of forex you’re buying exceeds Rs. 50,000, payment needs to be through crossed cheque, pay order, banker’s cheque, debit card, demand draft, or prepaid card. The traveller must have a valid passport and, in cases where it’s needed, a visa before they can obtain forex.
For business travellers going from India to other countries, the Reserve bank of India allows them to carry up to US$250,000 per trip. Such a trip must be for business purposes, of course. The $250,000 is the maximum amount a person can take within a financial year. So, you can take the whole money in one trip or split it for many trips. Where you require more than this amount, you’ll need to obtain the permission of the RBI.
Any Indian resident that enters the country with foreign currency, whether banknotes or traveller cheques, you’ll have to surrender it after 180 days if it remains unspent. But you can still retain up to $2000 worth of forex in a special account or for future use as long as you meet those conditions.
Tips For Travelling To A Foreign Country
There are things you need to note when travelling into another country. They include:
- When travelling, it’s advisable not to carry all your foreign exchange in one medium. You can have cash, travel cards, traveller’s cheques, etc.
- Make sure that you activate your cards for international use
- It’s also important to make all necessary preparations for foreign exchange when travelling so you can avoid exchanging at the wrong places such as the airport
- When leaving a country with cash, you must be familiar with the rules in the country you’re heading to, as they’ll likely have their laws on how much cash you can bring into their country.
- Exchanging your foreign currency in cash for the local currency comes with additional charges, and the rates might be unfavourable.
- The best way to get the local currency when travelling is by using your debit card to withdraw at the local ATM. Of course, that’ll cost you a fee, but it’s still cheaper, and you’ll get a better exchange rate.
- Hold only a little cash when you’re in a foreign country, as carrying a large amount of cash can put you at risk.
When travelling to India from Canada, you can take as much as you want. But once it reaches a minimum of CA$10,000, you’ll have to declare it to Canadian authorities. In India, you must declare any cash up to US$5000 or other monetary instruments up to US$10,000. Being familiar with the currency declaration rules can save you a lot of trouble.