Query on FCTRS

Form FC-TRS is strictly required for the transfer of shares via sale or gift, not for transmission by operation of law. Therefore, no FC-TRS needs to be filed on the FIRMS portal by either the company or the resident heir. The AD bank is also not involved, as there is no fund flow. To execute the transition, the resident heir simply needs to submit the valid legal succession documents and death certificate directly to the Indian company or its RTA to update the statutory registers.

Dear Sir

Thanks for your valued views.

In this regard, my query is how will then RBI know about change in status of shareholding from non resident to resident. Is this not a significant change having crucial impact.

Regards

CA CS Dipjyoti Majumdar