Your money, correctly sent.

Sending funds from India to Dubai for a property purchase is neither complicated nor slow — provided you use the right channel. This guide walks through the bank wire process, timelines, purpose codes, TCS mechanics, and the four mistakes that most commonly derail first-time remitters.

$250k
Your annual LRS limit,
wired through any
Indian bank.
Purpose code S0005.

How the wire works.

24–72h
Typical wire
processing time
Bank to Dubai
S0005
Purpose code for
overseas property
RBI mandate
15CA/CB
Forms required
above ₹5 lakh
Per transaction
20%
TCS on remittance
above ₹7 lakh
Refundable via ITR
PS
By Priya Sharma, Chartered Accountant
Published April 2026

The first time my clients wire funds for a Dubai property, the fear is almost always the same: something will go wrong, ED will notice, the bank will block the transaction, or the funds will get stuck in some foreign compliance hold. In twelve years of advising Indian property buyers, I have seen precisely zero cases of compliant LRS wires being blocked, returned, or flagged — provided the buyer follows the simple mechanical process this guide describes.

What does go wrong, frequently, are the attempted shortcuts — using credit cards, asking relatives abroad to "front" the money, splitting one purchase across too many small wires to avoid TCS. These attract scrutiny. The compliant path is both faster and less stressful. Here is how it actually works.

The Mechanism

Every LRS remittance is a SWIFT wire transfer from your Indian bank account directly to a Dubai bank account — typically the developer's RERA-registered escrow account or the seller's account for secondary deals. There are no intermediaries, no cryptocurrency, no informal channels. Just a bank-to-bank wire under the standard global SWIFT system.

Step-by-step: The wire process.

The end-to-end process takes between 48 hours and one week for first-time LRS remittances, and 24-48 hours for repeat transactions at the same bank. Here is what actually happens, step by step.

Step 1 — Pre-remittance documentation.

Before visiting your bank, gather: passport copy, PAN card, the signed Sales and Purchase Agreement (SPA) with the Dubai developer/seller, recent bank statements (3–6 months), and source-of-funds proof for HNI transactions. Also obtain the recipient bank details from Dubai — full bank name, SWIFT code, account number, beneficiary name, address.

Step 2 — CA certification (Form 15CA/CB).

For any remittance above ₹5 lakh, you need Form 15CA (self-declaration uploaded on the income-tax portal) and Form 15CB (CA certification). Your CA prepares Form 15CB after reviewing your documents — this takes 1–2 business days. The certificate confirms that applicable taxes have been considered and no tax is pending on the remittance.

Step 3 — Submit Form A2 at the bank.

Visit your bank's foreign exchange desk (or use their online LRS portal if available). Submit Form A2 with purpose code S0005, along with all documents from Step 1 and the Form 15CB from Step 2. The bank reviews for 1–2 business days.

Step 4 — TCS collection & wire initiation.

The bank collects 20% TCS on the remittance amount above ₹7 lakh (aggregated across all your LRS transactions for that financial year). Once documentation is cleared and TCS paid, the bank initiates the SWIFT wire. You receive a UTR (Unique Transaction Reference) and SWIFT message copy.

Step 5 — Receipt in Dubai.

The funds arrive in the Dubai recipient account within 24–72 hours. Your Dubai broker or developer confirms receipt and issues a payment acknowledgment that becomes part of your Schedule FA documentation trail.

Which banks handle LRS best.

All scheduled Indian banks offer LRS services under the same RBI framework, but the quality of LRS desk experience varies significantly. Based on client feedback across hundreds of transactions:

BankLRS processTypical time
HDFC BankDedicated NRI desk, online A2 submission24–36 hours
ICICI BankOnline LRS portal, smooth for large amounts24–48 hours
Axis BankGood forex desk, online integration24–48 hours
SBIManual process, slower but reliable3–5 days
Kotak MahindraStrong HNI service, personalised handling24–36 hours

For high-volume or repeat LRS remittances, HDFC, ICICI, and Axis are the strongest. For first-time remitters who want face-to-face handholding, your existing relationship bank usually offers better service than switching mid-process. Public sector banks can handle LRS but the experience is typically slower and more paperwork-heavy.

What you cannot do.

The four remittance patterns that Enforcement Directorate has issued notices on in 2025–2026:

Patterns the ED Has Flagged
  1. Credit card payments for property purchase. All credit card use for overseas real estate violates FEMA regardless of issuer, travel card, or forex card.
  2. Wise, Revolut, and other fintech wallets for property purchases. These are fine for remittance but not compliant for capital account transactions like property. Use a bank SWIFT wire.
  3. Cryptocurrency routing (USDT, USDC, etc.) to bypass LRS. All forms of crypto-based property payments violate FEMA and trigger additional legal complications.
  4. "Hawala-style" informal transfers where you pay cash to an agent in India and the equivalent lands in Dubai. This is a Prevention of Money Laundering Act offence.

The common thread: all of these attempt to avoid the SWIFT wire because of speed, convenience, or cost. The SWIFT wire via LRS is genuinely the simplest and fastest compliant path — there is no benefit in the shortcuts, only risk.

Cost of the wire itself.

Forex conversion and wire fees are modest but worth understanding. Total costs for a typical Dubai property remittance:

Cost componentTypical amount
Bank FX spread (above mid-market)20–50 paise per USD
Wire transfer fee (per wire)₹500–2,000
SWIFT correspondent fee$15–30 (deducted in USD)
GST on bank charges18% of charges
CA fees for 15CA/CB₹3,000–10,000 per remittance
Total on AED 2M (~₹4.6cr) remittance~₹40,000–70,000

On a large property purchase, total remittance costs are typically 0.1–0.2% of the property value — negligible relative to the purchase itself. Forex spread is by far the largest component; for HNI transactions above USD 50,000 equivalent, negotiate spread with your bank's forex desk rather than accepting the default rate card.

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Remittance questions.

Most large banks (HDFC, ICICI, Axis, Kotak) offer fully online LRS remittance through their NRI or forex portals — you upload Form A2, 15CA/CB, SPA, and supporting documents digitally. A video KYC call may be required for first-time LRS users. SBI and older public-sector banks still require branch visits in most cases.

Yes, but the LRS limit of USD 250,000 applies to you as an individual across ALL banks combined, not per bank. Using multiple banks does not increase your limit — it just gives you multiple execution options. The only reason to split across banks is if one bank delays the wire and you need parallel execution to meet a developer deadline.

Rejection is extremely rare on compliant S0005 remittances. Delays occur when documentation is incomplete — missing 15CB, wrong SWIFT code, or the recipient bank flagging AML checks. If delayed, contact your bank's international wire desk with the UTR; they can escalate to the correspondent bank or recipient bank for status. Most delays resolve within 48–72 hours.

Yes — this is standard family pooling. If your spouse is a co-owner on the SPA, she remits her share from her own bank account under her own USD 250,000 LRS limit. Each co-owner's remittance is tracked independently, and each discloses their share in their own Schedule FA annually. This is the cleanest way to fund property above ₹2 crore.

Typically yes. Broker commission (2% + VAT for secondary purchases) is remitted via LRS using the same S0005 purpose code, as it forms part of the total property acquisition cost. Some buyers wire the commission separately to a different beneficiary — this is fine as long as both wires are under S0005 and within your annual LRS headroom.

TCS is not reducible — the 20% rate above ₹7 lakh is fixed. But you can plan timing to manage cashflow: remit late in the financial year (say February-March) so the TCS recovers at ITR filing in June-July, compressing the lock-up period. For off-plan purchases with payment plans, split remittances across financial years where possible to spread TCS impact.

Walking you through your first wire.

Share your bank, transaction size, and timeline on WhatsApp. We will map out the step-by-step LRS process for your specific situation — including CA referral if you need 15CA/CB support.

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