Feedback   New User   Login      
Tax Management India. Com TMI - Tax Management India. Com
Acts / Rules Notifications Circulars Tariff/ ITC HSN Forms Case Laws Manuals Short Notes Articles SMS News Highlights
        Home        
Extracts
Home List
← Previous Next →

Master Circular on Remittance Facilities for Non-Resident Indians / Persons of Indian Origin / Foreign Nationals

FEMA - 08/2015-16 - Dated:- 1-7-2015 - RBI/2015-2016/80 Master Circular No. 8/2015-16 July 01, 2015 To, All Authorised Dealer Category - I banks and Authorised banks Madam / Sir, Remittance facilities for Non-Residents /Persons of Indian Origin /Foreign Nationals are governed by sub-section (1) and (2) of section 6 of the Foreign Exchange Management Act, 1999 read with FEMA Notification No.13/2000-RB and FEMA Notification No. 21/2000-RB dated May 3, 2000, as amended from time to time. 2. This Ma .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

may be referred to for general guidance. The Authorised Dealer Category - I banks and Authorized banks may refer to respective circulars / notifications for detailed information, if so needed. Yours faithfully, (A K Pandey) Chief General Manager INDEX 1. Remittance facilities for Non Resident Indians (NRIs) / Persons of Indian Origin (PIO) and Foreign Nationals 2. Definition of NRI/PIO 3. Remittance of current income 4. Remittance of assets by a foreign national of non-Indian origin 5. Remittan .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

als The Regulations for transfer of assets outside India by a person, whether resident in India or not, are given in the Notification No. FEMA 13/2000-RB dated May 3, 2000, as amended from time to time. Accordingly, remittance of funds from the sale of capital assets in India held by a person, whether resident in or outside India, requires approval of the Reserve Bank except to the extent provided in the Foreign Exchange Management Act, 1999 (FEMA) or Rules or Regulations made there under. 2. De .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

pouse of an Indian citizen or a person referred to in (a) or (b). 3. Remittance of current income 3.1 Remittance outside India of current income like rent, dividend, pension, interest, etc., in India, of the account holder is a permissible debit to the NRO account. Authorised Dealer banks may also allow repatriation of current income like rent, dividend, pension, interest, etc. of NRIs who do not maintain an NRO account in India, subject to payment of applicable taxes as prescribed by Central Bo .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

tted to re-designate their resident account maintained in India as NRO account on leaving the country after their employment to enable them to receive their legitimate dues subject to certain conditions. 4. Remittance of assets by a foreign national of non-Indian origin 4.1 A foreign national of non-Indian origin who has retired from an employment in India or who has inherited assets from a person referred to in section 6(5) of the Act or who is a widow of an Indian citizen who was resident in I .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

de India or with an intention to stay outside India, AD Category-I banks may permit such foreign nationals to re-designate their resident account maintained in India as NRO account on leaving the country after their employment to enable them to receive their pending bona fide dues, subject to the following conditions: AD Category-I bank should obtain the full details from the account holder about his legitimate dues expected to be received into his account. AD Category-I bank has to satisfy itse .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

o the account holder s account maintained abroad. There should not be any other inflow / credit to this account other than that mentioned at point (a) above. AD Category-I bank should put in place proper internal control mechanism to monitor the credits and debits to this account. The account should be closed immediately after all the dues have been received and repatriated as per the declaration made by the account holder mentioned at paragraph (a) above. 5. Remittance of assets by NRI/PIO 5.1 .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

in India) as indicated in paragraph 5.1 above without any lock-in-period. 5.3 In respect of remittance of sale proceeds of assets acquired by way of inheritance or legacy or settlement for which there is no lock-in period, NRI / PIO may submit to the Authorised Dealer documentary evidence in support of inheritance or legacy of assets, an undertaking by the remitter in the prescribed formats. Settlement is also a mode of inheritance from the parent, the only difference being that the property un .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

or his successor who has acquired immovable property in accordance with Section 6(5) of FEMA, 1999 cannot repatriate sale proceeds of such property outside India except with prior permission of the Reserve Bank. (b) The facility of remittance of sale proceeds of other financial assets is not available to citizens of Pakistan, Bangladesh, Nepal and Bhutan. 6. Remittance of Salary 6.1 A citizen of a foreign State, resident in India, being an employee of a foreign company or a citizen of India, emp .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

tax Act,1961 is paid on the entire salary as accrued in India. 6.2 A citizen of a foreign state resident in India being in employment with a company incorporated in India may open, hold and maintain a foreign currency account with a bank outside India and remit the whole salary received in India in Indian Rupees, to such account, for the services rendered to the Indian company, provided that income-tax chargeable under the Income-tax Act, 1961 is paid on the entire salary accrued in India. [The .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ount can be credited to the NRO account and can be remitted under USD one million facility as mentioned in paragraph 5.1. 7.2 Authorised Dealer banks may permit repatriation of amounts representing the refund of application / earnest money / purchase consideration made by the house building agencies / seller on account of non-allotment of flat / plot / cancellation of bookings / deals for purchase of residential / commercial property, together with interest, if any (net of income tax payable the .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ay of loans from the authorized dealer banks / housing finance institutions to the extent of such loan/s repaid by them out of foreign inward remittances received through normal banking channel or by debit to their NRE / FCNR(B) accounts. *Definition of PIO for this purpose will be as stated in Notification No. FEMA 21/2000-RB dated 03.05.2000. 8. Facilities for students 8.1 Students going abroad for studies are treated as Non- Resident Indians (NRIs) and are eligible for all the facilities avai .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ined with an Authorised Dealer bank in India. 8.3 All other facilities available to NRIs under FEMA are equally applicable to the students. 8.4 Educational and other loans availed of by them as residents in India will continue to be available as per FEMA regulations. 9. Income-tax clearance The remittances will be allowed to be made by the Authorized Dealer banks on production of an undertaking by the remitter in the formats prescribed by the Central Board of Direct Taxes, Ministry of Finance, G .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

cardholder s FCNR (B) / NRE/ NRO accounts. Annex-1 Statement / returns to be submitted to the Reserve Bank Particulars of statement Periodicity Relevant instructions Facilities to NRIs/PIO and Foreign Nationals - Liberalisation - Remittance from NRO account. Monthly A.P (DIR Series) Circular No. 106 February 18, 2014 APPENDIX List of notifications/circulars which have been consolidated in this Master Circular https://rbi.org.in/Scripts/BS_ApCircularsDisplay.aspx https://www.rbi.org.in/Scripts/B .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

Discussion Forum
what is new what is new
 


Share:            

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

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

Go to Mobile Version