In India, there is no inheritance tax on property inherited by Non-Resident Indians (NRIs). However, NRIs must be aware of other tax implications related to inherited property.

• No Inheritance Tax: India does not levy an inheritance tax on properties inherited by NRIs. This means NRIs do not pay taxes simply for receiving property through inheritance​.
• Income from Inherited Property: If the inherited property generates income, such as rental income, this income is taxable in India. NRIs must report and pay tax on rental income after accounting for municipal taxes and standard deductions as per the Income Tax Act​ ​.
• Capital Gains Tax: When NRIs decide to sell the inherited property, capital gains tax applies. The tax rate depends on the duration for which the property was held. If the property is sold after holding it for more than two years, it is considered a long-term capital asset. Short-term capital gains tax applies if the property is sold within two years​.
• Repatriation of Sale Proceeds: NRIs can repatriate up to USD 1 million per financial year from the sale proceeds of inherited property, subject to tax compliance and other regulations..
• Legal and Compliance Requirements: NRIs must ensure proper documentation, including succession certificates, wills and property ownership documents, to facilitate the inheritance and any subsequent sale of property and must comply withwith the Foreign Exchange Management Act (FEMA).

For NRIs dealing with inherited property in India, consulting  a real estate attorney in India is advisable to navigate the complex tax laws and ensure compliance with all legal requirements.