Foreign Exchange Regulations
Foreign exchange regulations have been liberalized over the years to allow remittance of funds in and outside India. These changes are introduced continuously, which is in line with the government policies of economic liberalization.
However, certain cases require prior approval from Indian regulatory authorities for foreign exchange transactions and remittances
The main law regulating foreign exchange is the Foreign Exchange Management Act, 1999. The Reserve Bank of India is the primary authority to regulate foreign exchange in India.
FEMA is a relevant legislation that impacts foreign nationals who are working in India and also an Indian resident who are outside India. It is crucial to comply with the exchange control regulations.
FEMA applies to all the parts of India including
All the branch, offices and setups which are owned and controlled by a Person Resident in India (PRI)
All the branch, offices and setups which are owned or controlled by a Person Resident outside India (PROI)
It also includes all the regulations which has a direct impact on external trade and payments
Key Services offered by us
- Assistance to the foreign companies in India for setting up a branch office, liaison office, and project office, along with the approaches required for initiating a setup.
- Regulatory Due Diligence
- Advice on Foreign Exchange Transactions.
- Carry out compliance in connection with regulatory risk analysis of past and present compliances from a foreign exchange perspective
- Representation before authorities such as Reserve Bank of India and Revenue Departments
- Obtaining Approvals for External Commercial Borrowing.
We also offer following advice related to FEMA functions such as
- Opening of NRI Bank Accounts
- Investments in immovable properties and shares in India held by foreign nationals
- Procedure for remittance of salary outside India and other incomes like interest income, interest earned in India
- Foreign Exchange Regulations in respect of the assets acquired outside India before visiting India
- Repatriation of funds outside India
- Business Valuation or Share Valuation under FEMA
- NRI Borrowing from a Resident Indian or Indian Company and NRI Loans to Resident Indian