Difference between PIO and OC

Most of us are familiar with the word ‘NRI’ that means ‘Non-Resident Indian’ or a person having Indian citizenship and Indian passport who resides abroad for the purpose of job, business or education. But not many of us know who PIO and OCI are. Do you?

Meaning of the acronyms

PIO means Person of Indian Origin, who or any of whose ancestors (parents, grandparents or great grandparents) or spouse was an Indian national and who is currently holding citizenship of another country, with the exception of Pakistan, Bangladesh, Bhutan, Nepal, Iran and Sri Lanka.

OCI, on the other hand means Overseas Citizen of India, i.e., a foreign national registered to possess an OCI card under section 7A of Indian Citizenship Act, 1955. A registered cardholder for 5 years is eligible to apply for Indian citizenship having ordinarily resided in India for 12 months before such application. 

Starting 30th September, 2019 the PIO status has become invalid and only the OCI card remains as a valid travel document for travellers of Indian origin living abroad. The government of India has the authority of issuing a PIO or OCI card to an individual.

Understanding PIO in detail 

The concept of PIO and OCI is not as commonly known as NRI. Let us understand these two in more detail to have clarity on differences between them.

Salient features of the PIO

• PIO used to be a 15-year visa for non-Indian citizens which has been removed since 30th September, 2019.

• PIO was more exhaustive, spanning four generations of an individual for tracking his/her Indian origin.

• The applicant of PIO status used to be a foreign national holding a foreign passport.

• PIOs could work or study in an Indian institution without a specific visa.

Who is eligible to hold a PIO status?

• A person whose parents, grandparents or great grandparents were born in India or were eligible to become citizens of India on or after the commencement of the Indian constitution on 26 January, 1950 or belonged to territories that became part of India after 15 August,1947

• The foreign spouse of an Indian citizen was also eligible for a PIO status

Entitlements of a PIO

• Didn’t need a visa to visit India up till 15 years from the date of issuance of PIO card

• Could study or work for a private institution in India without a special visa

• Could stay in India up to 180 days at a stretch without the need of registration with the FRRO (Foreign Regional Registration Office)

• Enjoyed the same economic/financial benefits as enjoyed by NRIs

• Didn’t need to register with the local police authorities for a stay up to 180 days

• Could apply for Indian citizenship under section 5 (1)(a) and 5 (1)(c) of the Citizenship Act, 1955 after ordinarily residing in India for a period of 7 years

Documentation needed for the application of a PIO card

A filled PIO application form along with necessary documentation were needed to be submitted to CKGS or the local authorised application centre in the jurisdiction of the applicant. Documents were as under:

• The current or expired original passport of the applicant, along with any two of the following documents:

1. Birth certificates of the applicant and his/her parents/grandparents/great grandparents

2. Nationality certificates for the people described above

3. School/college leaving certificates of the people described above

4. Copy of applicant’s parents passports.

Documentation needed for the spouse of a PIO

1. Marriage certificate in original

2. Indian passport of PIO card of spouse

3. Passport size photographs - 4 nos.

Understanding OCI in detail 

Who’s an OCI?

An OCI refers to a person holding an OCI card under section 7A of Citizenship Act, 1955. After abolition of PIO status, this is the only type of immigration status left to be applied by an eligible foreign citizen for a much longer stay in India.

Eligibility for being an OCI?

• A foreign national who was an Indian citizen at the time or at any time after 26th January 1950 was eligible or was eligible to become an Indian citizen since that record date.

• A foreign national who belonged to a territory that became part of India after 15th August 1947.

• Who was a child, minor child, grandchild of such a citizen.

Benefits enjoyed by an OCI?

1. The card holder can visit India anytime over his/her lifetime.

2. A lifelong validity of visa from the date of issuance of OCI card.

3. Unlimited stay in India without need for being registered with the FRRO or local police.

4. Can get his/her children admitted to Indian educational institutions in NRI quota and/or work for privately owned institutions without need for any special permission.

After abolition of PIO status, OCI has remained as the only status that can be applied for by a foreign national with requisite links to Indian origin. Differences between the two could easily be understood going through the details already mentioned.

Both the status were conferred with similar perks and most economic benefits enjoyed by an NRI. Both card holders can open rupee bank accounts in India, lend money and make investments in India.

The PIO card application used to get processed within 2-4 weeks and OCI card application usually took as long as 3-4 months to get processed.

All past PIO card holders have been deemed to be OCI card holders with effect from January 9, 2016 as per the Citizenship Amendment Bill, 2015. The income earned by them in India has also been made taxable by the Indian Income Tax Department.

The PIO card holders are now entitled to enjoy all the benefits of the OCI card holders after conversion post 30th September, 2019. This move by the GOI was targeted towards streamlining residency norms.