Exporters and units in special economic zones (SEZs) will now have to realise and repatriate overseas sales proceed of goods and services in nine months, as against 12-month earlier, from the date of shipment.
"...Henceforth the period of realisation and repatriation of export proceeds shall be nine months from the date of export for all exporters including Units in SEZs, Status Holder Exporters, EOUs, Units in EHTPs, STPs and BTPs until further notice," a RBI notification said.
Earlier, these entities were getting a year to realise and repatriate full value of goods/software/services to India. The time for other exporters was reduced to nine months from one year in May 2013.
In another notification, RBI said domestic tax laws will be applicable on transactions involving acquisition of immovable property by Indian citizens living outside the country and Persons of Indian Origin.
The clarification comes as "doubts persist" in the members of public regarding requirement of payment of taxes while undertaking property transactions under the Foreign Exchange is invited to Foreign Exchange Management (Acquisition and Transfer of immovable property in India) Regulations.
An amendment in the Regulations had said: "Any transaction involving acquisition of immovable property under these regulations shall be subject to the applicable tax laws in India.
