| As
per the latest notification, Indian nationals can
open and maintain a foreign currency account with
a bank outside India and receive the salary payable
for services rendered to the subsidiary or JV in
India of that foreign entity. The salary to be credited
should not exceed 75% of the total and the balance
should be paid in Indian rupees. The salary would
also be subject to all applicable taxes on the entire
salary. This facility was currently available to
foreign nationals employed by a foreign company
and on deputation in India.
In
another notification, the central bank has allowed
diplomatic missions, personnel and non-diplomatic
staff of foreign embassies, who are nationals of
concerned foreign countries and hold an official
passport, to maintain foreign currency deposit accounts.
These
directions have been issued under section 10(4)
and section 11(1) of the FEMA, 1999, the notification
added. |
