Liberalised Remittance Scheme is a scheme introduced by RBI as liberalisation measure to facilitate Resident Individuals (RI) to freely remit funds upto USD 2,50,000/- outside India in a financial year (April to March) for any permissible current or capital account transaction or a combination of both.
NR Connect
Liberalised Remittance Scheme FAQs for NRI
What is Liberalised Remittance Scheme (LRS)?
Who is eligible to remit funds outside India under LRS?
What are the permissible current account transactions under LRS?
Which Capital account transactions are permissible under LRS?
Can bankers open foreign currency accounts in India for residents under LRS?
Can exchange facility be availed in excess of USD 2,50,000/- ?
Can remittances be made only in US Dollars?
Is there any restriction on number of remittances during a FY?
Can a remittance under the LRS be made by a minor?
An Indian passport holder is residing in Singapore for his employment since the last 20 years. Will he be eligible for availing LRS?
Can remittances under LRS be consolidated in respect of family members?
Is the AD required to check permissibility of remittances based on nature of transaction or allow the same based on remitters declaration?
Is it mandatory for RI to have PAN for outward remittance under LRS?
What is not permitted under LRS?
Are RI under LRS required to repatriate back to India the accrued interest / dividend on deposits / investments abroad, over and above the principal amount?
A RI, intends to give loan abroad under LRS? Can he do so?
A RI has gifted an amount of USD 1,50,000 to his daughter in USA in October 2018. He intends to gift another amount of USD 1,00,000 to his son in UK before March 2019. Can he do so?
A RI has gifted an amount of USD 250,000 to her daughter in USA in December 2018. She intends to remit additional amount of USD 50,000/- to her daughter for her maintenance before March 2019. Can she do so?
Whether credit facilities (fund or non-fund based) in Indian Rupees or foreign currency can be extended by AD banks to RI?
Can a sole proprietor remit funds under LRS?
Can a RI make a rupee loan to an NRI / PIO who is a close relative of RI, by of crossed cheque / electronic transfer?
Can a RI make a rupee gift to an NRI / PIO who is a close relative of RI, by of crossed cheque / electronic transfer?
Content Partners : G. P. Kapadia & Co. | Chartered Accountants
Disclaimer:
The contents of this webpage are meant merely for informational purpose. This content is not an offer, invitation or solicitation of any kind to buy or sell any security and is not intended to create any rights or obligations. Nothing on this website is intended to constitute legal, tax, securities or investment advice, or opinion regarding the appropriateness of any investment, or a solicitation for any product or service. Deutsche Bank, Affiliates of Deutsche Bank their respective officers, directors, personnel, representatives, consultants, nominees, designees do not accept any responsibility for any errors whether caused by negligence or otherwise to any person, for any direct or indirect loss / claim / damage arising out of or in relation to the event or the use of information communicated herein. Deutsche Bank makes no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability with respect to the content provided by content partners for any purpose. Any reliance placed on such information is therefore strictly at one’s own risk.