FEMA India Rules for NRI

Home / FEMA India Rules for NRI

Table of Contents

FEMA India Rules for NRIs – N.D. Savla & Associates

The Foreign Exchange Management Act (FEMA), 1999 governs all foreign exchange transactions and cross-border dealings in India. For Non-Resident Indians (NRIs), Persons of Indian Origin (PIOs), and Overseas Citizens of India (OCIs), FEMA rules regulate how income, investments, property, and remittances are handled in India. At N.D. Savla & Associates, we provide expert guidance on FEMA India rules for NRIs, ensuring that all transactions remain compliant with RBI regulations.

Overview

FEMA applies to all foreign exchange-related activities including:

  • Inward remittances to India

  • Investments in shares, securities, and businesses

  • Purchase or sale of immovable property

  • Repatriation of sale proceeds or income abroad

  • Maintenance of NRO/NRE/FCNR accounts

  • Transfers of shares between residents and NRIs

Understanding and complying with FEMA provisions ensures NRIs can freely invest, repatriate, and manage assets without facing penalties or restrictions.

Features

  • Guidance on NRO, NRE, and FCNR account rules under FEMA

  • Advisory on NRI investment in property, shares, and mutual funds

  • Compliance for repatriation of funds abroad

  • Support in FDI, ODI, and cross-border structuring

  • FEMA compliance for gift transfers, inheritance, and remittances

  • Advisory on RBI reporting requirements (FC-GPR, FC-TRS, FLA returns)

  • Representation before RBI for compounding of FEMA contraventions

Documents Required

  • Passport & Visa copies

  • PAN card

  • Bank account details (NRO/NRE/FCNR)

  • Investment and property documents

  • Shareholding agreements (if applicable)

  • RBI filings/approvals (if already initiated)

  • Identity and KYC proofs of NRI/PIO/OCI

Procedure

  • Transaction Review – Assess whether the proposed activity falls under FEMA.

  • Eligibility & Compliance Check – Identify whether automatic route or RBI approval is required.

  • Documentation & Filing – Prepare and submit necessary forms such as FC-GPR, FC-TRS, or ODI.

  • Regulatory Clearance – Obtain RBI/Authorized Dealer Bank approvals where required.

  • Execution & Monitoring – Complete the transaction and ensure FEMA-compliant documentation.

  • Annual Reporting – Maintain filings such as FLA returns and compliance registers.

Why This Matters

Failure to follow FEMA rules for NRIs can lead to penalties, blocked remittances, or restrictions on investments. With N.D. Savla & Associates, your NRI FEMA compliance in India is handled end-to-end, ensuring that property transactions, bank accounts, and cross-border investments are legally structured and hassle-free.