Indian law still governs Indian-situs assets
An NRI's residence in Bahrain does not change which Indian law governs their assets located in
India. The Hindu Succession Act, 1956 applies to Hindus, Sikhs, Jains and Buddhists, and the Indian
Succession Act, 1925 applies to Christians, Parsis and other communities not covered by a separate
personal law; Muslims are separately governed by Muslim personal law for succession in India.
Immovable property in India is governed by Indian law by virtue of its location, irrespective of the
NRI's Bahrain residence or domicile. Where the deceased died intestate (without a will), legal heirs
typically need a succession certificate or legal heirship certificate from an Indian court to deal with
movable assets such as bank accounts and shares, while immovable property transfer generally proceeds
through mutation records supported by the relevant succession document; where a will exists, probate is
mandatory only in limited circumstances -- notably where the will was executed within the local limits
of the ordinary original civil jurisdiction of the Bombay, Calcutta, or Madras High Courts, or where it
concerns immovable property situated there -- and merely optional, though often still advisable,
elsewhere in India.
Bahrain explicitly exempts non-Muslims from Sharia forced heirship
Bahrain's unified Family Law, Law No. 19 of 2017, is the first Bahraini statute to codify personal
status rules for both the Sunni and Jaafari (Shia) communities in a single law, though it primarily
addresses marriage, divorce and custody rather than inheritance directly. On inheritance specifically,
Muslim expatriates' Bahrain-situs estates are generally governed by Sharia forced-heirship principles,
which fix each heir's share by relationship to the deceased rather than allowing the testator complete
freedom of disposition, but non-Muslim expatriates are explicitly exempted -- Bahrain's Civil Procedures
Act applies the law of the deceased's own country to a non-Muslim's inheritance instead, meaning an
Indian Hindu or Christian NRI's Bahrain-situs assets would, in principle, devolve according to that
person's own Indian personal law even though the estate is physically administered through Bahrain's
courts. Bahrain also levies no inheritance tax, which distinguishes it favourably from several
jurisdictions with significant NRI populations, though this should not be treated as a substitute for
proper estate planning, since procedural questions around court administration and asset transfer
remain distinct from the substantive inheritance-tax position.
The standard planning recommendation
Even with this non-Muslim exemption, the well-supported recommendation for NRIs holding assets in
both India and Bahrain is to execute separate, jurisdiction-specific wills -- one for India-situs
assets under Indian law, and one addressing Bahrain-situs assets recognized under Bahraini procedure --
drafted so that neither inadvertently revokes the other, typically achieved by expressly limiting each
will's scope to assets in that country and naming an executor familiar with the relevant jurisdiction.
This approach also helps reduce delays during the Bahraini probate process, which typically involves a
court petition, an Official Gazette notice period allowing potential claimants to come forward, and
subsequent distribution once the court confirms the estate's heirs and assets. NRIs should also keep an
updated inventory of Bahrain assets -- including any employer end-of-service benefits, bank accounts,
and, where applicable, Bahrain-registered business interests -- and note that nomination facilities
offered by individual Bahrain banks or brokers typically only determine who can operate an account
after death, not who legally inherits the underlying funds, so a will remains necessary even where
nominations are in place. Wills and related documents should be periodically revisited after major
life events such as marriage, the birth of a child, or acquiring significant new Bahrain assets.
