I am NRI residing in austraila i have got fund from singapore and dubai as borrowing. After receiving fund i have given loan to my father who resides in india. Since i have not filed income tax return. Can you advice me what all other laws applicable on me and what will be penalty if i have not followed that.
29 December 2015
You have given LOAN to your father. Now your father has to declare the same in his return of income, if he is liable to file the return. Since you are NRI, you check your status as per Indian Income Tax. If it is non resident, you need not have to file income tax return in India.
29 December 2015
Thank you so much for quick response. But Sir as i was checking FEMA act somewhere it was mentioned only only 2,50,000 USD or similar to it is allowed to give as loan to close relative. Can you please help me with this problem.
30 December 2015
That limit is for taking money out of india. I suppose your case is reverse of that. You are in Aus and your father is in India and you are transferring money INTO India. Right? India being in developing stage, can NOT make such rules for incoming of funds and that too from NRI. The FDI (Foreign Direct Investments) has restrictions for business purposes. Your investment is with your father. So no limit. It will be against NATURAL justice to have any such restriction. Your views please.
CAclubindia
