NRE and NRO accounts

Bank accounts in India for people resident outside India. An NRE account holds money brought from abroad, is freely repatriable and its interest is exempt from Indian tax; an NRO account holds income arising in India, is taxable in India and can be repatriated only within limits. For a US resident both are foreign accounts whose interest is taxable in the US and which count for FBAR and Form 8938.