FEMA query

Jyotsna Chaturvedi (Associte Company Secretary)   (26 Points)

04 May 2010  

Hi Friends i have a query. what will be the procedure and treatment of following in FEMA:

1) Purchase of Intellectual Property Rights and Intangible Assets from and Indian Company by a USA based Company-is the transaction under autoimatic approval route and hoe the reporting of reciept of consideration will be done

2)Licensing by a USA based Company to Indian Operating Company (WOS of the same) for use of IPR and Intangible Assets- now as per the new press note 8 dated 16.12.2009The Government of India has reviewed the extant policy and permitted payments for royalty, lumpsum fee for transfer of Technology and payments for use of trademark/ brand name on the Automatic Route without approval of Govt of India  but have also mentioned subject to FEMA(Current account transactions) Rules 2000 so whats the effect