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FEMA Archives - All About Finance

Revamping of ECB regulation by RBI

Introduction In an ongoing effort by the Government in liberalizing Foreign Exchange Regulations, it’s for sometime now that the RBI/Govt. has also been constantly liberalizing/rationalizing, the foreign funding by way of External Commercial Borrowing as well, placing more and more confidence on the corporate prudence. With the notification dated 16th January, 2019, the ECB[1] policy … Read more

New system of monitoring of foreign investment limits in listed Indian companies

In terms of Foreign Exchange Management (Transfer or Issue of Security by a person Resident outside India) Regulations, 2017 notified vide Notification No. FEMA 20(R)/2017-RB dated November 07, 2017 the onus of compliance with the sectoral/ statutory caps on foreign investment lies with the Indian investee company. Currently, Reserve Bank of India receives data on … Read more

WANT TO BE PART OF INDIA’S GROWTH STORY

India has been jumping the ranks in ease of “Doing Business”. It has jumped 30 ranks to be at number 100. It is one of the top 10 improvers and has implemented reforms in eight out of 10 doing business indicators which are tracked by world bank. Doing business indicators are not the sole determinants … Read more

Are you an Expat? Have you been Tax Equalized?

“Expatriate” or “Expat” is a person residing in a country temporarily or permanently which is different from his/her home country i.e. the country in which he/she is a resident. Usually this term is used in case of technicians and professionals sent by their companies to their associated enterprises or foreign subsidiaries. Expatriates often work in … Read more

End of Foreign Investment Promotion Board – Maximum Governance minimum Government

India has a very well formulated Foreign Direct Investment (FDI) policy. FDI is channeled into India subjected to entry regulations. FDI entry can be made under two categories – Approval route and Automatic route. The FDI Policy, Press Notes and other related notified guidelines formulated by Department of Industrial Policy and Promotion (DIPP) in the … Read more

Budget 2017 – Bringing India closer to Global practices

“Arise, awake, and stop not till the goal is reached” said by Swami Vivekanada seems to be the motto of the Indian government which is relentlessly working on bringing India at Global footing as far as the taxation laws are concerned. Year by year India is adopting the international best practices for all the reasons it may have, … Read more

Place of Effective Management (POEM)

There has been change in section 6(3) regarding the determination of residential status of Company. As per the new provisions the residential status of companies which are not incorporated under the corporate laws of India, would be determined by the concept of “Place of Effective Management”. Extant Position => Revised position a company is said … Read more

GAAR…. A REALITY NOW

There are several aspects which needs to be considered for investing in India viz norms of foreign direct investment, choice of entities, incentives available with respect to investment, tax treaties, corporate and capital gains tax, maturity of transfer pricing regulations and indirect taxes. The tax legislation in India has always been in the forefront of … Read more

Policy Liberalisation by Reserve Bank of India to Give Boost to Start Up

Startup India is a flagship initiative of the Government of India, intended to build a strong Eco-system for nurturing innovation and Startups in the country that will drive sustainable economic growth and generate large scale employment opportunities. Vide Notification No. GSR 180(E) dated February 17, 2016 issued by Department of Industrial Policy and Promotion, Ministry … Read more

Bonus to non-residents by Indian Inc. by way Redeemable preference shares

Innovation gets more innovative when it comes to taxes, finance and law. When the corporate inc. put their minds to save the shareholders money and put it to best possible use and to increase the value. One such innovative product is Redeemable preference shares issued as Bonus shares. Since its Diwali time, there cannot be … Read more