Buying US stocks from India is simple. Here’s how you can start:

Open an International Trading Account: Choose a broker like Groww, Zerodha, or ICICI Direct that allows US stock trading.
Complete KYC: Submit your PAN, Aadhaar, and bank details.
Transfer Funds: Convert INR to USD and transfer money to your trading account.
Start Investing: Search for stocks (e.g., Apple, Tesla) and buy them.

Example: Dev, who lives in Mumbai and is now 30, has been buying US stocks for five years. Kenneth first bought into Amazon and Apple with $1,000. Currently, his portfolio contains $5,000.

Step	Action
Choose a Broker	Pick Groww or Zerodha
Complete KYC	Submit PAN and Aadhaar
Fund Account	Convert INR to USD and transfer
Buy Stocks	Purchase shares like Apple or Tesla

Dev invests regularly and enjoys long-term growth. You can too!

How to Buy US Stock from India?

You can easily purchase US stocks. Read on to learn how Dev, a 35-year-old in Delhi, began investing in US stocks three years ago.

Steps To Buy US Stock

Pick a Broker

Dev chose Zerodha because it’s simple and cheap.
Other good brokers are Groww, ICICI Direct, and Interactive Brokers.

Read More – FAANG Stocks: Why These 5 Companies Dominate the Market

Open an Account

Dev submitted his PAN, Aadhaar, and bank details.
Took 1-2 days for approval.

Add Money (INR to USD)

Dev transferred ₹50,000 from his bank.
The broker converted it to $600 (small fee applied).

Buy Stocks

Dev searched for Tesla (TSLA) and bought 2 shares at $300 each.
He also bought fractional shares of Amazon (AMZN) for $50.

Track & Sell

After 2 years, Tesla’s price doubled.
Dev sold 1 share for $600, keeping the rest for long-term growth.

Key Points in a Table

Step	What did Dev do?	What Should You Do?
Choose Broker	Picked Zerodha for low fees	Compare brokers before selecting
Open Account	Submitted PAN & Aadhaar	Complete KYC quickly
Add Money	Converted ₹50,000 to $600	Check forex rates & fees
Buy Stocks	Bought Tesla & Amazon	Start with big companies
Sell When Needed	Sold 1 Tesla share after 2 yrs	Hold long-term for best gains

Dev began by using little money and worked his way up. It’s possible for you as well. All you have to do is use these steps.

Tax Rules for US Stocks in India?

Three years ago, Dev spent $1,000 on US stocks. Now, the investment he made two weeks ago is valued at $1,500. Here’s what happens when he sells the stock:

Key Tax Rules

Short-Term Capital Gains (STCG)

If sold within 2 years
Taxed as per income slab (Dev pays 30% as he's in the highest tax bracket)

Long-Term Capital Gains (LTCG)

If sold after 2 years
Flat 20% tax after indexation benefit

Dividend Tax

The US deducts 25% tax automatically
A Dev can claim a foreign tax credit in India

Currency Gains Tax

If USD grows stronger than INR, extra gains are taxable

Dev's Tax Example:

Situation	Calculation	Tax Payable
Sells after 1 year (STCG)	$500 profit	30% of $500 = $150
Sells after 3 years (LTCG)	$500 profit (after indexation)	20% of $500 = $100
Receives a $100 dividend	$25 deducted in the US	Can be adjusted in India

Important Points

Always hold for 2+ years to pay lower tax.
Keep records of all transactions.
File Form 67 to claim the US tax credit.

Dev saved taxes by holding long-term. Smart investing means understanding taxes, too!

Common Mistakes to Avoid When Buying US Stocks

Dev learned these lessons the hard way when he started investing in US stocks. Avoid these mistakes to save money and stress:

Also Read – How to Invest in US Stocks from India – A Complete Step-by-Step Guide

5 Big Mistakes & How to Avoid Them

Ignoring Currency Fees

Dev's Mistake: Didn't check forex rates, lost ₹5,000 in conversions.
Fix: Compare brokers' USD/INR rates before transferring.

Buying Only Popular Stocks

Dev's Mistake: Put all money in Tesla, missed other good stocks.
Fix: Spread investments across 5-10 companies.

Panic Selling

Dev's Mistake: Sold Apple shares during a market drop, missed 40% rebound.
Fix: Hold quality stocks for 3+ years.

Forgetting Taxes

Dev's Mistake: Got a surprise tax bill on dividends.
Fix: Set aside 20% for capital gains tax.

Trading Too Often

Dev's Mistake: Paid $50 in fees, making 10 small trades.
Fix: Buy in bigger amounts, less frequently.

Mistake	What Happened	Smart Solution
High forex fees	Lost ₹5,000	Compare 3 brokers first
Only 1 stock	Tesla crashed 30%	Invest in 5+ companies
Sold in panic	Missed Apple's rise	Hold good stocks long
Tax surprise	Owed ₹15,000	Save 20% for taxes
Too many trades	Wasted $50	Trade just 1-2 times/month

Conclusion

Three years back, Dev opened a US stock account with only ₹50,000. In the beginning, he acted hastily in selling and didn’t pay attention to taxes, but he figured out how to manage over time. Now, his investment is worth ₹1,50,000, and he is paid dividends from Apple and Microsoft. He found out it’s important to find strong companies, keep them long-term,
and regularly confirm the costs you pay.

Dev didn’t find success instantly, but he consistently practised patience and made sound decisions with his money. If US stocks interest you, begin by putting in little money, learning as you go, and don’t worry too much about changes in the market. If you focus on good choices and keep at it, like Dev, you can create wealth in time.

FAQs

Can I buy US stocks from India?

Yes, you can easily buy US stocks from India using brokers like Groww, Zerodha, or ICICI Direct. Just open an international trading account, complete KYC, and start investing.

How much money do I need to start?

You can start with as little as ₹1,000. Many brokers allow fractional shares, so you can buy small portions of expensive stocks like Amazon or Google.

Which US stocks are best for beginners?

Start with well-known companies like Apple, Microsoft, or Tesla. These are stable and have good growth potential.

How do I send money to my US trading account?

Transfer INR to your broker, who will convert it to USD. There’s a small fee (around 0.5-1%) for currency conversion.

What taxes will I pay on US stocks?

If you sell within 2 years, profits are taxed as per your income slab. After 2 years, you pay 20% tax. The US also deducts a 25% tax on dividends.

Can I lose money in US stocks?

Yes, stock prices can go up or down. Don’t invest money you can’t afford to lose, and always diversify your investments.

How long should I hold US stocks?

For best results, hold stocks for at least 3-5 years. Short-term trading is risky and has higher taxes.

What’s the $250,000 LRS limit?

RBI allows Indians to invest up to $250,000 per year abroad. This includes US stocks, so plan your investments accordingly.

How do I withdraw money from US stocks?

Sell your stocks, and the broker will convert USD back to INR and transfer it to your bank account. It takes 2-4 working days.

Are the US investments better than Indian stocks?

Both have pros and cons. US stocks offer global exposure, while Indian stocks may grow faster. A mix of both is ideal for diversification.