Shaun and Dean Harrington helped lifeguards to save a group of eight people, believed to be tourists, who got into trouble at Duranbah Beach near Tweed Heads on Christmas Day.
All eight were hauled out of the water but a 22-year-old Indian national could not be revived.
The other seven were taken to hospital for assessment.
Friends have identified the 22-year-old as Ravneet Singh Gill, a business student at Southern Cross University.
Members of the local Sikh community said they are devastated by the loss and have arranged a tribute.
"It is with great sadness and a very heavy heart that we ask the Gold Coast and Brisbane Community to come together to pay tribute to our lost but never forgotten friend," Gurpreet Singh said in a Facebook post.
Surjit Singh from the Gold Coast Sikh Council told SBS Radio Punjabi that the community is trying to help the family of the deceased.
“We have set-up a My Cause fundraising page to help raise funds for Ravneet’s family,” Mr Singh said.
“The untimely taking of Ravneet Singh Gill from this world has been a shock to the small Sikh community of the Gold Coast, and also to all those who knew him."
The Gold Coast Gurdwara Sikh Temple posted a message on Facebook saying the loss "has shocked our small community, but serves as a timely reminder to please be safe in the ocean".
In a post on Instagram, surfers Shaun and Dean Harrington accused other surfers at the scene of taking no action to help those in trouble.
"If you see someone in trouble you HELP THEM and that kiteboarder who nearly ran me over twice when I had an unconscious man in my arms you can get f***ed, some poor family has lost a life because people were standing around watching and doing f*** all."
Police from the Tweed Byron Local Area Command have launched an investigation and a report is being prepared for the Coroner.
Officers urged swimmers to take precautions.
"The incident is a timely reminder for swimmers to make safety the priority when in, on or around the water this summer," New South Wales Police said in a statement.
Seventeen coastal drownings in NSW since July
The number of deaths from coastal drownings in the state since July is now 17.
A teenager and 11-year-old boy are among fatalities on the NSW mid-north Coast in recent weeks.
Surf Life Saving NSW said the latest death reinforced the need for water safety warnings to be heard and understood.
"The lifeguards and lifesavers involved all put in a heroic effort to save this young man's life but unfortunately were unable to do so," Surf Life Saving NSW CEO Steven Pearce said in a statement.
"This tragedy reinforces why we are so determined to ensure that our safety messages are heard and understood."
The Burundian community in South Australia earlier this month backed calls by Surf Life Saving South Australia for more government-funded swim education targeted at migrants and tourists.
The calls came after two drownings involving migrants over an eight-day period in early December.
A 15-year-old Burundi boy drowned in a birthday party tragedy at Glenelg Beach 18 December, eight days after 15-year-old Indian student also drowned.
More people died in creeks and waterways across Australia than at the beach in 2016/17, according to AMA president Michael Gannon.
Almost 70 people died in creeks and waterways compared to 50 at the beach, while more than 40 people drowned in swimming pools.
- with AAP
