9911796707
TMI BlogPurchase/sale of shares and/or convertible debentures by an 1NRI on a Stock Exchange In India on repatriation and/or non-repatriation basis under Portfolio Investment Scheme - [See Regulation 5 (3) (i)]X X X X Extracts X X X X X X X X Extracts X X X X ..... n Authorised Dealer for the purpose; b. The paid-up value of shares of an Indian company purchased by any individual NRI should not exceed five percent of the paid-up value of shares issued by the company concerned; c. the paid-up value of convertible preference shares or convertible debentures of any series purchased by any individual NRI on repatriation basis should not exceed five percent of the paid-up value of convertible preference shares or convertible debentures of that series issued by the company concerned; d. the paid-up value of warrants of any series purchased by any individual NRI on repatriation basis should not exceed five percent of the paid-up value of warrants of that series issued by the company concerned; e. the aggregate paid-up value of shares of any company purchased by all NRIs on repatriation basis should not exceed ten percent of the paid-up value of shares of the company and the aggregate paid-up value of each series of convertible preference shares or convertible debentures or warrants purchased by all NRIs should not exceed ten percent of the paid-up value of that series of convertible preference shares or convertible debentures or warrants; Provided t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... licable taxes) of shares / convertible preference shares /convertible debentures /warrants/ units acquired on repatriation basis under the Scheme and sold on stock exchange through registered broker; and d. Dividend or income earned on investment made on repatriation basis under the Scheme Debits a. Outward remittances of dividend or income earned; b. Amounts paid on account of purchase of shares /convertible preference shares/ convertible debentures / warrants/ units on repatriation basis on stock exchanges through registered broker under the Scheme; and c. Any charges on account of sale / purchase of securities or units under the Scheme. d. Remittances outside India or transfer to NRE / FCNR (B) accounts of the account holder of the NRI or any other person eligible to maintain such account. 5. Saving The existing NRO (PIS) accounts may be re-designated as NRO account.] ***************************** Note : 1. For the words 'NRI/OCB', the word 'NRI' has been substituted vide Notification no. 046/2001 dated 29/11/2001 2. The words 'or an Overseas Corporate Body (OCB)' has been omitted vide Notification no. Supra 3. Substituted vide Notification no. 94/2003 da ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e, Mumbai, a report on daily basis on PIS transactions undertaken by it, such report to be furnished on line or on floppy or in hard copy in a format supplied by Reserve Bank. 10. Substituted vide NOTIFICATION No. FEMA. 261/2013-RBI dated February 27, 2013 , before it was read as, 6 3. Remittance/credit of sale/maturity proceeds of shares and/or debentures. The net sale/maturity proceeds (after payment of taxes) of shares and/or debentures of an Indian company purchased by NRI [***] under this scheme, may be allowed by the designated branch of an authorised dealer referred to in paragraph 1, a. to be credited to NRO account of the NRI/[***] investor where the payment for purchase of shares and/or debentures sold was made out of funds held in NRO account or where the shares and/or debentures were purchased on non-repatriation basis, or b. at the NRI o[***] investor's option, to be remitted abroad or credited to his/its NRE/FCNR/NRO account of the NRI, where shares and/or debentures were purchased on repatriation basis. 11. Inserted vide NOTIFICATION No. FEMA. 261/2013-RBI dated February 27, 2013 . 12. Substituted vide Not. 361/2016-RB - Dated 15-2-2016 , before it was read as, [ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nciled by periodically taking a NRI holding report for its bank. ] 10 [ 3. Maintenance of accounts by an NRI for routing transactions for purchase and sale of shares/convertible debentures An NRI may open a separate sub-account of NRE/NRO account (opened and maintained by Authorised Dealer bank in terms of the Foreign Exchange Management .(Deposit) Regulations, 2000) with a designated branch of an Authorized Dealer bank referred to in paragraph 1, for routing the receipt and payment for transactions relating to purchase and sale of shares /convertible debentures under this Scheme. NRE(PIS) account shall be opened for investment made on repatriation basis and NRO(PIS) account shall be opened for investment made on non-repatriation basis under the Scheme. The designated branch of an Authorised Dealer bank shall ensure that sale proceeds of shares / convertible debentures which have been acquired by modes other than Portfolio Investment Scheme such as underlying shares acquired on conversion of ADRs/GDRs, shares/ convertible debentures acquired under FDI Scheme, shares/ convertible debentures purchased outside India from other NRIs, shares/ convertible debentures acquired under debent ..... X X X X Extracts X X X X X X X X Extracts X X X X
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