FEMA Compliance Requirements Calculator
Frequently Asked Questions
What is FEMA compliance for FDI in India?
FEMA compliance for Foreign Direct Investment involves filing prescribed forms with the Reserve Bank of India (RBI) including FC-GPR (within 30 days of share allotment), Advance Reporting Form (within 30 days of receipt of foreign remittance), and Annual FLA Return (by July 15 each year). Non-compliance can attract penalties up to three times the sum involved.
What are the penalties for FEMA non-compliance?
Under FEMA, the penalty for contravention can be up to three times the sum involved. If the amount is not quantifiable, the penalty can be up to Rs 2 lakh, with an additional penalty of Rs 5,000 per day of continuing contravention beyond the first day.
What is the FC-GPR filing requirement?
Form FC-GPR must be filed within 30 days of allotment of shares to a foreign investor. It reports details of the foreign investment including investor details, share price, valuation report, and KYC documents.
Do NRI investments require separate FEMA filings?
Yes, NRI investments under the Portfolio Investment Scheme (PIS) or FDI route have specific filing requirements including FC-GPR, designated bank reporting, and annual FLA returns if thresholds are met.