This ticket includes refreshment and course materials and participation Certificate
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Recently some of leading corporate received notice from Reserve Bank of India for non submission of bill of entry, non fulfilment of export obligations after receiving advance remittances and cases where import of goods not done after sending advance remittance to overseas suppliers. It is also learnt that issuance of bill of entry hard copy is dispensed with. EDPMS and IDPMS are put to operation. These are the some of the developments in the recent past.
In the advent of electronic data taking over the export and import transactions most of the guidelines of under FEMA 1999 has been modified.
From the time FEMA was introduced in June 2000, till today lot of relaxations have been introduced by Reserve Bank for smooth facilitation of trade operations. In most of the cases exchange control administration is decentralized and the Authorized Dealers are being delegated with powers to handle the transactions.
In case of exports, dispatch of documents directly to consignee, reduction in invoice value, write off, netting off export receivables, allowing export through ware house abroad, agency commission remittance, export claims, handling advance remittance and delayed presentation of regulatory documents etc., powers are delegated to Authorized Dealers for approving such transactions subject to certain conditions.
Likewise, import transactions are also liberalized. Authorized dealers are delegated with requisite powers to approve advance remittance for imports with/without the guarantee from the overseas seller, trade credit transactions (supplier’s credit / buyer’s credit), merchanting trade and high-sea sales transactions etc.,
Regarding outward remittances Authorised Dealers can permit most of the current account transactions and also capital account transactions subject to certain limits.
In spite of the wide range of delegated authority, still there are some gaps in understanding and interpreting these guidelines.
This workshop will exclusively address the changes introduced by Reserve Bank of India through Master Directions and AP DIR circulars with case studies on the following issues.
Introduction to FEMA 1999 – Distinction between current and capital account transactions – Full convertibility of Indian Rupee – Decentralisation of exchange control administration – Role of Authorised Dealers in handling foreign exchange transactions –
FEMA 1999 on export of goods and services – Regulatory compliance – Responsibilities of AD in handling export transactions – Export of services – software exports – Time limit for presentation of export documents – time limit for realizing export payments – change of buyer – extension of time limit – export write off – handling export advance remittances – netting off – direct dispatch of documents to the consignee – GR Waiver – export related remittances – legal expenses, export claims, storage and warehousing charges, demurrage and agency commission – with case studies.
FEMA 1999 on Import of goods services – handling advance remittances for imports – responsibilities of an authorised dealer in handling import transactions – time limit for import payments – approved method of payments – submission of documentary evidence – reporting system for import remittances – delayed remittances under AD’s discretionary powers, cases to be referred to RBI, difference between high sea sales and merchanting trade – trade credits – suppliers credit and buyers credit – with case studies
Inward remittances – for residents and non residents;
Outward remittances – other than imports
Question and answer session