Rich Indian families are racing to shield booming US stock portfolios from America’s 40% inheritance tax, but face complex FEMA and LRS hurdles. Many are exploring offshore trusts, insurance wrappers and RBI-approved restructuring, while some are resorting to regulatory grey zones to transfer wealth or fund children’s US EB-5 investor visas. Experts warn unclear rules on gifting overseas stocks and sale proceeds to NRIs could trigger future FEMA scrutiny.