Fema / RBI : The 2026 FEMA amendment removes uncertainty surrounding INR borrowings by resident individuals from NRIs and OCI relatives. The RB...
Fema / RBI : Explains how ECBs allow Indian entities to borrow abroad while ensuring compliance with RBI rules. Key takeaway: growth is enabled...
Fema / RBI : Expanding overseas is easier under new rules, but compliance risks remain. Missing filings or structuring errors can trigger penal...
Fema / RBI : The issue concerns alternative settlement mechanisms for international trade. The framework allows INR-based transactions with fle...
Goods and Services Tax : ECGC payouts in INR do not qualify as export proceeds under GST and FEMA laws. Exporters must secure AD bank write-offs to avoid r...
Corporate Law : Authorities found Dubai property acquisitions by Indian residents routed through hawala, leading to action for violations of FEMA ...
Fema / RBI : BCAS submits comments on RBI’s draft External Commercial Borrowings (ECB) regulations, seeking clarity on eligibility, KYC norms...
Fema / RBI : BCAS provides feedback on draft FEMA trade regulations, flags concerns over AD bank powers, seeks clarity and consistency....
Fema / RBI : New FEMA rules allow settlement of foreign exchange violations with penalties up to ₹5 crore. Pending cases will follow earlier ...
Fema / RBI : The Government amended FEMA regulations, enabling resolution of violations up to ₹5 crore by paying fines. Ongoing cases follow ...
Corporate Law : The Appellate Tribunal under SAFEMA held that routing demonetized cash through another person’s bank account constituted a benam...
Fema / RBI : The issue was whether properties purchased using company funds could escape benami classification. The Tribunal held that unexplai...
Fema / RBI : The Tribunal ruled that transactions predating the alleged crime cannot be treated as proceeds of crime without a clear link. It s...
Fema / RBI : The issue was whether properties unconnected to crime could be attached under PMLA. The Tribunal held that equivalent value assets...
Fema / RBI : The Tribunal ruled that taxation of income does not negate its use in benami transactions. Even disclosed or assessed income can f...
Fema / RBI : RBI has withdrawn the requirement for prior approval of tie-ups between AD banks and non-bank remittance platforms. The new framew...
Fema / RBI : RBI has notified Foreign Exchange Management (Authorised Persons) Regulations, 2026 to streamline authorisation norms under FEMA. ...
Fema / RBI : RBI notified the Foreign Exchange Management (Authorised Persons) Regulations, 2026 introducing revised eligibility, compliance, a...
Fema / RBI : The issue involved foreign investment limits in the insurance sector under FEMA regulations. The amendment allows up to 100% FDI u...
Fema / RBI : The issue involved foreign investment from countries sharing land borders with India. The amendment mandates Government approval f...
Broadly any company issuing Compulsorily Convertible Debentures (CCD) will be required to comply following laws in India, which are as under: 1. Companies Act 2013 2. Foreign Exchange Management Act ( FEMA) 3. Income Tax Act, 1961. The overview of some of the provision of above laws to be taken into consideration before choosing CCDs as instrument for raising funds by a private limited company
Liaison Office Companies incorporated outside India can open ‘Liaison Office’ (also known as representative office) in India. Liaison office is a place of business to act as a channel of communication between the principal place of business or Head Office. The Liaison office can undertake only liaison activities, it is not allowed to undertake any […]
Determining residential status as per FEMA Law and the ‘major accounts’ that can be opened in India by Non-resident Indians When a resident Indian gains non-resident Indian status, it is mandatory by the law to change the residential status in the bank accounts. FEMA rules for NRIs do not allow holding a savings bank account in India. […]
‘FREELY CONVERTIBLE CURRENCY’ is not defined in Foreign Exchange Management Act, 1999 [‘FEMA Act’], however it seems that it has been borrowed in Indian Act from Articles of Agreement of the International Monetary Fund [‘Fund’] of United Nation and bye laws thereof; ARTICLE XXX (F) OF ARTICLES OF AGREEMENT OF THE INTERNATIONAL MONETARY FUND defines ‘’a freely usable […]
FLA is Return on Foreign Liabilities and Assets which is governed by FEMA, 1999. The RBI has started a web-based system online reporting portal – Foreign Liabilities and Assets Information Reporting (FLAIR) for submission of foreign liabilities and assets (FLA) return. Applicability of FLA return Following entities are required to file for FLA return: > […]
Requirement for obtaining prior approval of RBI in cases of acquisition/ transfer of control of Non-Banking Financial Companies (NBFCs) As per the RBI Notification DNBS (PD) CC.No.376/03.10.001/2013-14 and Notification No. DNBS(PD) 275/GM(AM)-2014 dated May 26, 2014 Prior approval of RBI is to be taken when there is change in management/ control of NBFC. After granting […]
♦ Introduction to foreign investment in India and ITS regulations India has sought to liberalise its economy and has continuously opened up most of its industrial and business sectors to foreign investment since 1991 Foreign investment in India is principally governed by the Foreign Exchange Management Act 1999 (FEMA) and the regulations framed thereunder, which […]
India continues to be an attractive destination for the investors, including non-resident Indians (NRIs). Investments made by NRIs are generally treated as ‘foreign investment’ from the Indian foreign exchange regulations perspective. These regulations have been liberalized over the years and have facilitated remittances from overseas, making India one of the top recipients of foreign remittances […]
Annual return on Foreign Liabilities and Assets has been notified under FEMA 1999 and it is required to be submitted by all the India resident companies which have received FDI and/ or made overseas investment in any of the previous year(s), including current year by July 15 every year. Non-filing of the return before due date will be treated as a violation of FEMA and penalty clause may be invoked for violation of FEMA.
Meaning Overseas Direct investment means investments outside India, either under the Automatic Route or the Approval Route: -by way of contribution to the capital or -subscription to the Memorandum of a foreign entity or -by way of purchase of existing shares of a foreign entity either by market purchase or private placement or through stock […]
