German citizen moving to India? 4 things to sort before you leave

You have a German passport, an OCI card (Overseas Citizen of India card) and a job offer from your employer's Indian office. Before you move, you need to sort out four things: your bank and trading account, your health insurance, your pension and your savings transfer.

Our earlier post on severance pay and sending savings to India was for people who leave Germany with severance pay. This article is about a different case. You keep your job, you move to the Indian entity of your German employer, and you hold German citizenship.

What should you do first before moving back to India?

Start with the Abmeldung (cancelling your registered address). You do it at your local Bürgeramt (citizens' office). You can go up to 7 days before you leave, or within 14 days after you move.

The office gives you an Abmeldebestätigung, which is written proof that you deregistered. Keep it safe. You need it to cancel contracts and to change your tax status.

What happens to your German bank and trading account?

Once you work in India, you pay income tax on your salary in India. When you deregister in Germany, you also lose German tax residency (the status that makes Germany tax your income).

Send your Abmeldebestätigung to your bank and your broker. Ask them clearly to change your status to Steuerausländer (a non-resident taxpayer). You must tell them yourself.

After the change, the bank stops the automatic 25% Abgeltungssteuer (German tax on investment profit). That covers most gains, such as selling shares or ETFs (funds that you buy and sell like shares), and also interest. DKB explains the Steuerausländer status on its website.

German dividends are different. They are still taxed at 26.375%, which includes the solidarity surcharge (a small extra tax added on top).

What about an exit tax, called Wegzugsbesteuerung in German? You don't pay it on a standard trading account. It only applies if you own 1% or more of a company.

This article does not cover how India taxes your German gains. Ask an Indian tax adviser before you sell anything.

Can you keep your German health insurance?

No, not as normal cover. You can't stay actively insured in the German public system (GKV) while you live and work in India. Cancel it with your Krankenkasse (health insurer, such as TK or AOK) and send them the Abmeldebestätigung.

There is one useful option. It is called Anwartschaftsversicherung (a pause option for your insurance). It costs about €50 to €60 a month for public insurance, which is about €600 to €720 a year.

In return, you keep your right to come back to the system later. You don't need new health checks and you don't face waiting periods. Techniker Krankenkasse explains the rules in English.

My view: if there is a real chance you will return to Germany, this is cheap protection. If you are sure you will never come back, skip it.

Should you keep paying into the German pension?

As a German citizen living abroad, you have the legal right to pay voluntary contributions to the Deutsche Rentenversicherung (DRV, the German pension office). You choose the monthly amount, roughly €100 to €1,400. This lets you keep building your German pension from India or fill gaps in your record.

The exact limits for 2026 are not confirmed yet, so check them with the DRV before you plan. You apply to the DRV directly. It also has a brochure on working in Germany and India.

How do you move your savings to India?

Germany does not tax you for sending your post-tax savings (money you already paid tax on) to India. That part is simple.

The Indian side needs a check. As an OCI holder, you count as a foreign citizen. You can open an NRO (Non-Resident Ordinary) or NRE (Non-Resident External) account in India.

Before you do, ask your Indian bank about the FEMA rules (India's foreign exchange rules) for foreign citizens. Our guide to NRE and NRO accounts explains the difference. Before you send a large amount, also ask for the full cost, including the fee and the exchange rate.

Why do German citizenship and an OCI card need extra care?

Most of us who take German citizenship give up our Indian passport. You have the OCI card, so you can live and work in India for as long as you like. You can also return to Germany at any time.

That freedom comes with two jobs. You must manage your tax residency, so you don't pay tax twice. And you must decide which German benefits to pause and which to keep.

Your checklist

1. Do your Abmeldung at the Bürgeramt and get the Abmeldebestätigung.
2. Send it to your bank and broker and ask for Steuerausländer status.
3. Cancel your health insurance and apply for the Anwartschaftsversicherung if you may return.
4. Apply to the DRV if you want voluntary pension contributions.

Do steps 1 and 2 in the same week. Your bank and broker can't change your status without that paper.