Rule 22 - Taxes and remittances of sale proceeds - Foreign Exchange Management (Non-debt Instruments) Rules, 2019

22. Taxes and remittances of sale proceeds - (1) Taxes - All transaction under these rules shall be undertaken through banking channels in India and subject to the payment of applicable taxes and other duties or levies in India. (2) Remittance of sale proceeds : (a) No remittance of sale proceeds of an Indian security held by a person resident outside India shall be made otherwise than in accordance with these rules , the conditions prescribed in the relevant Schedule and as specified by the Reserve Bank. (b) An authorised dealer may allow the remittance of sale proceeds of a security (net of applicable taxes) to the seller of shares resident outside India : Provided that - (i) the security was held by the seller on repatriation basis; and (ii) either the security has been sold in compliance with the pricing guidelines or the Reserve Bank s approval has been obtained in other cases for sale of the security and remittance of the sale proceeds thereof.