If you hold stocks and ETFs in IndMoney and want to move to Paasa, you don't need to sell first. Paasa lets you transfer your positions via ACATS, directly from the app, without triggering a capital gains event.
IndMoney does not allow you to transfer any cash in your account despite most other platforms (including Paasa) allowing it.
Table of contents
How to transfer from IndMoney to Paasa
Create your Paasa account.
Sign up and complete onboarding if you haven't already.
Open the Paasa app and tap 'Transfer investments'.
Select IndMoney
Select your underlying broker and enter your account number.
Select your account type, individual or joint.
Choose between a full or a partial transfer.
If you are doing a partial transfer, you will need to select the positions you want to transfer after selecting the type of transfer.
Review and confirm your transfer.
Few things to keep in mind before you confirm:
- Fractional shares will be liquidated in the transfer
- INDmoney does not allow cash transfers to brokerages
- INDmoney charges a $25 or $65 (Alpaca and DriveWealth, respectively) outward transfer fee, which will be deducted from your Paasa wallet. This fee is subject to change, please check the latest fee in the Paasa app when initiating a transfer.
Full vs partial transfer
A full transfer moves every position in one go.
A partial transfer lets you choose exactly what moves. If you select partial, you'll be asked to pick the specific positions you want to transfer. Everything you don't select stays behind in your IndMoney account.
A note on cash transfers
Indmoney does not allow you to move cash freely after their recent structural changes.
If you have cash balance in your IndMoney account and want to transfer it, you will need to follow ponw of these workarounds:
- Withdraw the cash to your Indian bank account and then remit it again. You will lose money to FX markups on both the inward and outward remittance.
- Use your cash to buy shares and transfer than using ACATS. You can only send whole shares as ACATS does not support fractional transfers.
If you are using the second method, we recommend buying something with low volatility like treasury bonds.
Will my cost basis be preserved?
Yes, this transfer process preserves original acquisition price and date.
What are the common reasons for transfer request cancellation?
- Name or DOB or address mismatch
- Unsettled trades (Wait for recent trades to settle before initiating transfer)
- Fractional shares rejected (These are not transferable. You must liquidate them.)
About Paasa
- In-kind transfers, no capital gains event. Move your positions to Paasa as-is, so you don't book a taxable sale just to switch platforms.
- Runs on Interactive Brokers infrastructure. Your holdings sit with IBKR, a globally regulated, NSCC-member broker.
- Built-in compliance reporting. Paasa handles the tax reporting complexity that comes with holding foreign assets as an Indian resident, including Schedule FA.
