9911796707
TMI BlogLiberalised Remittance Scheme (LRS) for resident individuals - increase in the limit from USD 125,000 to USD 250,000 and rationalisation of current account transactions - Remittance facilities for persons other than individualsX X X X Extracts X X X X X X X X Extracts X X X X ..... Attention of Authorised Persons is invited to the A.P.(DIR Series) Circular No. 138 dated June 3, 2014 regarding the Liberalised Remittance Scheme (LRS) for resident individuals and the existing guidelines issued under the Foreign Exchange Management (Current Account Transactions) Rules, 2000. On a review, it has been decided to make the following changes for further liberalization and rationalization on the existing guidelines. Limit and Facilities under LRS 2. AD banks may now allow remittances by a resident individual up to USD 250,000 per financial year for any permitted current or capital account transaction or a combination of both. If an individual has already remitted any amount under the LRS, then the applicable limit for such an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the LRS limit. The Notification dated May 26, 2015 containing the revised Schedule III is given in Annex 1. 4. As hitherto, the Scheme cannot be made use for making remittances for any prohibited or illegal activities such as margin trading, lottery, etc. 5. Remittance Procedure Requirements to be complied with by the remitter 5.1 The resident individual seeking to make the remittances should furnish an application cum declaration in the format indicated in Annex 2 to the AD/ full fledged money changer (FFMC) concerned regarding the purpose of the remittances and declaration to the effect that the funds belong to the remitter and will not be used for the prohibited purposes referred to in Para 4 above. Resident individuals can also pu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... India to all concerned. 6. Reporting of the transactions Authorised Dealers may arrange to furnish on a monthly basis information on the number of applicants and total amount remitted under LRS to the Chief General Manager, External Payment Division, Foreign Exchange Department, Reserve Bank of India, Central Office, Mumbai - 400001 through Online Return Filing System (ORFS) only. 7. Facilities for persons other than individuals 7.1 As provided in Para 2 of Schedule III provided in Annex 1, persons other than individuals can make remittances for i.Donations for educational institutions; ii.Commissions to agents abroad for sale of residential flats/commercial plots in India; iii.Remittances for consultancy services and iv.Remitta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ip;……………………… c. Account No…………………….. d. PAN No…………………………. II. Details of the foreign exchange required 1. Amount (Specify currency)……………………………… 2. Purpose …………………………………………………. III. Sources of funds: …………………………………. IV. Nature of instrument Draft ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llip;….of the Application, is within the overall limit of USD 250,000/-(US Dollar Two hundred and Fifty Thousand only), which is the limit prescribed by the Reserve Bank of India for the purpose and certify that the sources of funds for making the said remittance belong to me and the foreign exchange will not be used for prohibited purposes.
Signature of the applicant
(Name)
Certificate by the Authorised Dealer
This is to certify that the remittance is not being made by/ to ineligible entities and that the remittance is in conformity with the instructions issued by the Reserve Bank from time to time under the Scheme.
Name and designation of the authorised official:
Stamp and seal
Signature
Date:
Place: X X X X Extracts X X X X X X X X Extracts X X X X
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