08 December 2009
Dear Experts, Can an Indian Citizen bequeth his property (Movable & Immovable) infavour of a foreign National. If so please give us the concerned Act and Section reference
Regulation FEM (Acquisition and transfer of Immovable property in India) 2000 governs the restriction on Foreign Nation to acquire Immovable properties in India. For movable properties there are certain different regulations applicable to Capital Account Transaction as stated under Section 6(3) of FEMA.
Above to all this this Section 6(5) says following;
(5) A person resident outside India may hold, own, transfer or invest in Indian currency, security or any immovable property situated in India if such currency, security or property was acquired, held or owned by such person when he was resident in India or inherited from a person who was resident in India.
In view of above, I suggest, incase properties are bequeeth by by person resident in India, the bequees cannot be questioned.
Do let me know (by pm as I m not able to get feeds of expert section) if you want further clarifications.
CAclubindia
