No, Non-Resident Indians (NRIs) are not eligible for the rebate under Section 87A of the Income Tax Act, 1961. This rebate is exclusively available to Resident Individuals whose total taxable income does not exceed the prescribed limit.

Who Can Claim Rebate Under Section 87A?

✅ Only Resident Individuals can claim the rebate.
✅ The total taxable income (after deductions) must not exceed ₹7,00,000 for FY 2023-24 & FY 2024-25 (under the new tax regime).
✅ The maximum rebate available is ₹25,000.

Why is Section 87A Not Available for NRIs?

🔹 Residential Status Restriction: The Income Tax Act explicitly restricts this rebate to “Resident Individuals”.
🔹 Different Tax Treatment for NRIs: NRIs are taxed only on their Indian-sourced income (income earned in India), and they do not receive the same benefits as resident taxpayers.
🔹 Separate Exemptions & Deductions for NRIs: NRIs can claim deductions under Section 80C, 80D, and other specific provisions, but not the 87A rebate.

Conclusion

If you are an NRI, you cannot claim the rebate under Section 87A. However, you can still reduce your tax liability by using other available deductions and planning your taxable income efficiently.