The framework, if acceded to, would give Indian tax authorities unprecedented visibility into international actual property from 2029, they mentioned.
It widens the scope of world tax transparency to immovable property, an asset class that had remained exterior automated change mechanisms such because the Widespread Reporting Normal (CRS). In keeping with the OECD’s Tax Transparency in Asia Report 2025, member jurisdictions recognized no less than €24 billion in extra income between 2009 and 2024 by means of exchange-of-information mechanisms. In 2024 alone, €1.9 billion was recognized.
India, throughout its G20 presidency, had been a votary of widening the scope of the CRS to incorporate non-financial belongings akin to actual property underneath automated change among the many 38-member OECD. The push led to a devoted multilateral framework for the automated change of immovable property info.
The framework has vital implications for Indian residents holding property overseas by means of firms, trusts or particular goal automobiles (SPVs).
It alters how abroad property buildings will likely be considered by tax authorities, mentioned Rishabh Shroff, accomplice and co-head (personal consumer) at Cyril Amarchand Mangaldas. “The OECD’s property-exchange framework is a decisive shift for globally cellular Indian households. Constructions that after stored abroad actual property insulated—SPVs, layered trusts, property-linked residency routes—will now sit underneath direct, automated scrutiny,” he mentioned, including that India’s residency-based tax system and reporting guidelines underneath the Overseas Change Administration Act heighten the affect.
Tightening of property-led residency regimes overseas had already prompted rich households to shift away from conventional actual estate-linked pathways, in line with Shroff. “With Europe tightening property-led visas and increasing golden visa timelines, Indian HNIs are pivoting towards enterprise, fund and donation-driven residency choices that provide substance with out the disclosure fragility of ‘pure’ direct real-estate acquisition,” he mentioned.
The modifications are additionally influencing investment-linked migration choices. “Property-led Golden Visa traders rely closely on actual property funding for residency eligibility. Computerized change means each element—acquisition worth, financing, rental revenue, useful possession—will likely be shared with Indian authorities,” mentioned Rajneesh Pathak, founding father of World North Residency & Citizenship.
“Many consumers who used property as a ‘quiet’ asset diversification software are re-evaluating,” Pathak mentioned, including that purchasers are responding by bettering documentation and reporting. “We’re additionally seeing purchasers proactively organising clear source-of-funds documentation, rental revenue reporting, financing trails and OECD-aligned valuations.”
For households with advanced holding buildings, compliance dangers are increased, mentioned Gopal Kumar, founding father of borderless.VIP. “Challenges come up when both the supply of funds or the property itself has not been correctly declared,” he mentioned, including that layered SPVs and multi-jurisdictional possession buildings would face better scrutiny as useful possession and revenue particulars turn into seen.
The areas most impacted are residency and citizenship programmes constructed round actual property investments, akin to these in elements of Southern Europe, the Caribbean and Southeast Asia, and any inconsistency will stand out rapidly, in line with Kumar.
The framework closes a long-standing hole, mentioned Keshav Singhania, head-private consumer at Singhania & Co.. “Offshore firms, trusts and nominee buildings holding actual property have traditionally remained exterior automated reporting,” he mentioned, noting that whereas timelines are outlined, exchanges will materialise progressively as bilateral preparations take impact.
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