Stay abreast with the latest developments in the professional domain along with in-depth analysis through the monthly BCA Journal. Get access to an engaging library of researched publications from the BCAS stable.
Learn MoreBCAJ Brieficles are short-format, web-only articles on contemporary topics of professional importance that are open-for-all to read & share.
Explore BrieficlesExplore past issues of BCA Journal & indulge in a treasure trove of high-quality professional content across format of print, videos & learning events from the BCAS stable.
Learn MoreMonthly mouth-piece of BCAS, the BCA Journal is a leading publication that has been in continuous circulation for more than 53 years. Over the years the BCAJ has become synonymous with high-quality & authentic content across fields of finance, accounting, tax & regulatory matters. The BCAJ has wide circulation across India & commands huge respect amongst the Chartered Accountants` community.
Learn MoreFor queries, collaborations, and insights to forge, Drop a line, share thoughts, inquiries galore, At BCAJ, your messages, we eagerly explore.
Learn MorePresently, an Indian company can, under the Automatic Route, issue shares/convertible debentures to a person resident outside India against lump-sum technical knowhow fee, royalty, External Commercial Borrowings (ECB) (other than import dues deemed as ECB or Trade Credit) and import payables of capital goods by units in Special Economic Zones subject to conditions like entry route, sectoral cap, pricing guidelines, etc. and compliance with applicable tax laws.
This circular permits an Indian company to issue equity shares against any other funds payable by the investee company, remittance of which does not require prior permission of the Government of India or RBI under FEMA, 1999 or any rules/regulations framed or directions issued thereunder, if:
1. The equity shares are issued in accordance with the extant FDI guidelines on sectoral caps, pricing guidelines etc.;
2. A pplicable taxes have been deducted on the funds payable and the conversion to equity is net of applicable taxes.
However, issue of shares/convertible debentures that require Government approval in terms of paragraph 3 of Schedule 1 of FEMA 20 or import dues deemed as ECB or trade credit or payable against import of second hand machinery will continue to be dealt in accordance with extant guidelines.