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FEMA Compliance Services for Foreign Exchange Transactions

by Narendra Kumar Web Master

Foreign and Management Act is applicable to whole India and regulates foreign exchange management regime in the country. The Act covers operational and administrative part of all the transactions which takes place in foreign currency whether capital account transaction or current account transactions.


CAPITAL ACCOUNT TRASNACTIONS?


Any transaction which alters asset and liability of the person being the part of the transaction is referred to as the capital account transactions. eg. Investment by a person resident in India in foreign securities, Transfer of immovable property outside India by a person resident in India etc.


CURRENT ACCOUNT TRANSACTIONS


Transactions which do not alter the asset or liability as in capital account transactions are referred to as the current account transactions. Example: Private visit to any country, Gift & Donations etc.


The transactions under FEMA are to be carried out in accordance with and subject to compliance with Framework of Reserve Bank of India (“RBI”).


RBI Frame work for regulating the above transactions comprise of the following:


  • Foreign Exchange Management (Permissible Capital Account Transactions) Regulations, 2000

  • Foreign Exchange Management (Current Account Transactions) (Amendment) Rules, 2001

  • FDI Policy 2016

  • Foreign Exchange Management (Transfer or Issue of any Foreign Security) regulations

  • Foreign Exchange Management (Foreign currency accounts by a person resident in India) Regulations

  • Foreign Exchange Management (Acquisition and transfer of immovable property in India) regulations

  • Foreign Exchange Management (Establishment in India of branch or office or other place of business) regulations

  • Foreign Exchange Management (Manner of Receipt and Payment) Regulations

  • Foreign Exchange Management (Export of Goods and Services) regulations

  • Foreign Exchange Management (Realisation, repatriation and surrender of Foreign Exchange) Regulations

  • Foreign Exchange Management (Possession and Retention of Foreign Currency) Regulations

CCV provides full advisory on the RBI Compliances under FEMA and the rules made thereunder.


About Narendra Kumar Advanced   Web Master

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Joined APSense since, April 25th, 2015, From Noida, India.

Created on Jun 21st 2018 02:53. Viewed 190 times.

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