Taxmann FEMA Practice Manual by Sudha G Bhushan – 1st Edition April 2022

This is a comprehensive book on the Foreign Exchange Management Act 1999 (FEMA), which presents a wide range of complex cross-border transactions in a meaningful and straightforward manner. It helps the reader understand the intricacies of the law and guides companies in effective compliance.

This book is a one-stop solution for the following:

• Professionals including Chartered Accountants, Company Secretaries, Cost Accountants, Lawyers, etc.
• Chief Financial Officers (CFOs) of Multinational & Indian Companies
• Authorised Dealer Banks
• Students
• Persons having an interest in international transactions

The Present Publication is the latest 2022 Edition, authored by CA Sudha G. Bhushan. It is amended up to 14^th March 2022, with the following noteworthy features:

• [Exhaustive Commentary] on various Sections, Rules, Regulations under FEMA. It also provides a complete guide to foreign investments, presented in a manner that is easy to understand & practical to use
• [Practical Examples] that are primarily based on real case studies have been incorporated in this book for every point
• [Entity-wise Bifurcation of provisions of FEMA] All provisions concerning one type of entity (e.g. NRI, Residents, Unincorporated Entities, LLPs, etc.) are discussed in the respective chapters. This makes the book useful for the practitioners who are advising their clients
• [Balance Sheet Approach] is used in the book to describe the applicability of provisions of FEMA, which will be particularly useful to CFOs of multinational & Indian companies
• [Making the Complex Law, Simple] Every effort has been made to use pictorial representations, checklists, examples, case studies, various Compounding Orders issued by the Reserve Bank of India to provide a clear understanding of the subject
• [Guidelines & Procedures] required for transactions have been discussed in detail

The structure of the book is as follows:

• [Introduction to Foreign Exchange Management Act, 1999] Chapter 1 provides commentary on every section of FEMA
• [Conceptualisation under FEMA] Chapter 2 lays down the complete framework of FEMA and discusses the following concepts that are necessary to be appreciated in totality to have an understanding of FEMA:
  • Residential Status
  • Regulatory Bodies
  • Capital and Current Account Transactions, etc.
• [Balance Sheet Approach to evaluate Transactions under FEMA] To make the provisions under FEMA more helpful to practitioners, Chapter 3 gives a balance sheet approach to understand the applicability of various provisions under FEMA to an entity/transaction
• [Items of a Balance Sheet] are dealt with in Chapters 4 to 15. It also discusses every provision relating to it
• [Other Transactions] Chapter 16 discusses a few relevant and recurring current account transactions. All the provisions are discussed with examples to make it transaction-oriented
• [Non-Resident Indians] Further, the book is divided into entity wise provisions. E.g., all the provisions which apply to non-resident Indians under FEMA, from the types of accounts to investments, are discussed under Chapter 17
• [Resident Individuals] Chapter 18 discusses the various provisions relating to transactions/investments by resident individuals, including liberalised remittance scheme
• [Foreign Portfolio Investors] The schemes of investment by foreign portfolio investors have been discussed in Chapter 19
• [Foreign Venture Capital Investors, REITs & InvITs] Provisions relating to various investment vehicles along with foreign venture capital investors have been discussed in detail in Chapter 20
• [Liaison Office, Branch Office & Project Office] Unincorporated ways of investment in India, i.e., liaison office, branch office and project office, have been discussed in Chapter 21
• [Limited Liability Partnerships] has been dealt with in Chapter 22
• [Overseas Direct Investment] by the Indian party has been discussed in Chapter 23. The chapter discusses every possible aspect of making an investment outside India, from reporting to the provisions of the step-down subsidiary, disinvestment, and source of funding
• [Penalty, Appeal and Adjudication] has been discussed in Chapter 24
• [Compounding under FEMA] has been elaborated by taking examples from a few significant big sizes FEMA contraventions along with the procedures in Chapter 25

Details