NRIs as well as OCIs canÕt directly buy agricultural land, plantation property, or a farmhouse in India but they can inherit it from a Resident Indian. An NRI can even inherit such properties from other NRIs subject to certain regulations such as special permissions from RBI.The Foreign Exchange Management Act, 1999 (Fema), is the statute to consolidate the law for foreign exchange with the objective to facilitate external trade and payments and to promote the orderly development and maintenance of foreign exchange market in India.
Under Fema and the Foreign Exchange Management (Acquisition and Transfer of Immovable Property in India) Regulations, 2018, NRIs are not permitted to purchase an agricultural land or plantation property or farmhouse in India.However, one may seek special permission from the Reserve Bank of India, which may be granted only after the consideration of various factors. Therefore, to answer your query, your son, now being a US citizen, may not be able to acquire or purchase agricultural land in India under the automatic route.Under a gift or release deed, your daughter may gift or relinquish her interest in the land, as the case may be, to you or any other relative, subject to complying with the terms of the allotment of the land.
After paying the applicable stamp duty in the relevant state, Uttar Pradesh in your case, the gift or release deed will require to be executed and registered by your daughter at the office of the sub-registrar of assurances, having territorial jurisdiction of the land.
Reference: Under Fema and the Foreign Exchange Management (Acquisition and Transfer of Immovable Property in India) Regulations, 2018,