Fema query

Chartered Accountant

Dear Members of caclubindia, threre are two query regarding direct investment abroad under fema.


Fact: one of the company wants to invest outside india in wholly owned subsidiary through automatic route.


  1. Part III of Annexure to Form ODI i.e. Annual Performance Report, there is a particular for change in capital structure. now i want to know that what is meaning of "Ämount(New)" - amount of paid capital without premium or amount of total investment including premium.
  2. Whether above wholly owned subsidiary incorporated outside india can invest in company incorporated in india.


kindly help me to resolve this issue and also give relevent section/notification/circular/press release/rule except logic.



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