Dear Friends,
Is royalty payment made by Indian company to its foreign holding company an allowable expense in the hands of the indian company? 
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Royalty payment to foreign holding company- Allowable expe?
Replies (1)
Yes the same is allowable expenditure.Previously there were limits for royalty under FEMA but the same have been removed now. However you can have TP issues on the rate of Rayalty.
Anuj
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