SALE OF SHARES TO NRI
This query is : Resolved
CA Sanjeev Kr Jain
(Querist)
08 February 2009
i wish to sell my shares of a private limited company to an NRI. pl guide about relevant provisions of FEMA, RBI, company law.
thanks
thanks
CA. B.SRINIVASULU
(Expert)
08 February 2009
First you have to arrive at the amount for which you want to issue shares to NRI.
Based on the amount you have to find out whether you are eligible under automatic route.
If you fall under automatic route then apply for IE code under your jurisdictional dgft.
After receiving ie code receive money.
File returns to RBI about the receipt of money alonwith FIRC. Please note that FIRC should contain the words for the purpose of investment in shares of ____ company.
RBI will send you confirmation.
If not in automatic route then you have to approach FIPB (foreign investment permission board) submit the application with annexures and after processing the FIPB will give you apporval.
Based on approval you can receive the amount.
Based on the amount you have to find out whether you are eligible under automatic route.
If you fall under automatic route then apply for IE code under your jurisdictional dgft.
After receiving ie code receive money.
File returns to RBI about the receipt of money alonwith FIRC. Please note that FIRC should contain the words for the purpose of investment in shares of ____ company.
RBI will send you confirmation.
If not in automatic route then you have to approach FIPB (foreign investment permission board) submit the application with annexures and after processing the FIPB will give you apporval.
Based on approval you can receive the amount.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Visiting card purchase
- GST on reimbursement of expenses
- Due date for filing return for the partner in partnership subjected to Tax Audit
- Query on effect of registration of property
- Equity Share Sale and Purchase
- Wrong CMPo8 file
- Goodwill transfer of deceased father’s firm – ICAI applying a 27.04.2026 cut-off to the 3 year limit
- Whether output tax is taken credit by purchaser
- Number of years as per AS amortisation of Goodwill
- Additional trade name
- Classification of income of P Ltd company as business or profession
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- "Please ensure that the Total of the Deductions u/s 54F match the same in Table D in Sch CG"
- Need to correct "Whether it is last installment " response in Form 26 QB
- " Income from House Property " in joint names of co-owners
- REGARDING TDS RETURN OF FORM 27Q
- Notice under e-Verification Scheme
- GST demand notice for ITC reversal against exempted supply.
- RCM ON SECURITY CHARGES FROM INDIVIDUALS
- How to get money back from delisted company
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
