Spending on International Credit Card on foreign trip expenses brought under FEMA Rules
As per Rule 5 of the the Foreign Exchange Management (Current Account Transactions) Rules, 2000 read with Schedule III, Individuals can avail of foreign exchange facility for specified purposes (i.e. foreign travel/tour, studies abroad, medical treatment etc. ) within the limit of USD 2,50,000. Any additional remittance in excess of the said limit for the following purposes shall require prior approval of the Reserve Bank of India.
However, Rule 7 provided exception to the above by providing that the Rule 5 shall not apply to the use of International Credit Card for making payment by a person towards meeting expenses while such person is on a visit outside India.
The Ministry of Finance has issued a Notification No. GSR 369(E) dated 16th May 2023 omitting the Rule 7. This by implication means that the prescribed limit of USD 2,50,000 shall also apply to the use of international credit card for meeting expenses while on a foreign visit.
Mutual Funds to value physical Gold and Silver by using the polled spot prices published by the recognized stock exchanges…
Supreme Court allows simultaneous CIRP proceedings against principal debtor and its corporate guarantor, declines to frame any guidelines In a…
Merely because assessee had declared sales for only one month, the same cannot be treated as bogus on the basis…
ITAT deleted addition as the method of accounting had been accepted by the department in earlier years and the entire…
Orders passed under Benami Act cannot be challenged under Insolvency and Bankruptcy Code, 2016 - SC In a recent judgment,…
RBI notified format of Currency Declaration Form (CDF) to declare foreign exchange brought into India Regulation 6 of the Foreign…