I have client who is a director of a private company. Now the Director wants his son to invest in the company by way of shares or by giving loan to the company. The company is engaged in manufacturing of inorganic chrome pigments. Can anybody please guide me as to how NRI son can invest in company and what is the ceiling for investing in the shares or giving loan to the company. Since this is term as FDI, let me know the maximum percentage of shares a Director's NRI son can invest.
Menu
Fema
Replies (1)
He can invest money as Share application. The Valuation of Shares shall be done as prescribed by RBI. CA certifcate to that effect shall be attached when allotment of Shares is made. When Remittance if recieved a KYC Form along with Report shall be filed by Company with RBI through AD within 30 days of receipt of money. RBI will allot UIN to the application. Allotment of Shares has to be made within 180 days of receipt of remittance in India. Hope this solves your query.
Recent Topic
- 194JB INCOME
- Filing ITR3 where income under section 44AD with L
- What is superannuation fund
- GST Refund of input services under Inverted Duty S
- Dividend Reporting
- Real operational bottlenecks after firms use Tally
- Purchase return under gst
- Long Term Capital Loss - cannot be carried forward
- Cross-utilization of ITC between Trading and Resta
- Form 121 eligibility for non deduction of TDS for
Related Topics
CAclubindia
