Tax Management India. Com TMI - Tax Management India. Com
Case Laws Acts / Rules Notifications Circulars Tariff/ ITC HSN Forms Manuals News SMS Articles Highlightsnew
Discussions Forum
Home Forum FEMA - Foreign Exchange Management This
A Public Forum.
Anyone can participate to share knowledge.
We acknowledge the contributions of Experts/ Authors.

Submit new Issue / Query

← Previous Next →

Loan IN USD from NRI Director to Indian Private Company, FEMA - Foreign Exchange Management

Issue Id: - 111235
Dated: 15-12-2016
By:- Amar Kumar
Loan IN USD from NRI Director to Indian Private Company

  • Contents

Dear fellow members

Can NRI director (who is also a shareholder) give unsecured loans with or without interest to an Indian private limited company? Amount involved USD 50,000.

Whether any RBI approval is required under the FEMA, 1999?

If yes what are the relevant provisions to be complied with?

Posts / Replies

Showing Replies 1 to 1 of 1 Records

1 Dated: 16-12-2016
By:- Sanketh Meri

Please read Master directions on External Commercial Borrowing. Loan can be provided by share holder under automatic route. You will have to apply to RBI through your AD banker in Form 83 and get Loan Requisition No. Once you recieve LRN, every month you will have to submit Form ECB 2 detailing the receipt and disbursement of loan. Remember to check eligible end use for which such loan is provided


Old Query - New Comments are closed.

← Previous Next →
Discussion Forum
what is new what is new

Let's just recapitulate:

|| Home || About us || Feedback || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members ||

© [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.