It appears you are referring to transfer of shares of unlisted companies by a person resident in India to a person resident outside India. As per Regulation 11 (2)(c) of the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Regulations, 2017 notified by RBI through notification no. FEMA 20(R)/RB-2017 dated 7th November 2017, ‘Unless otherwise specified in these Regulations or the relevant Schedules, the price of capital instruments of an Indian company transferred from a person resident in India to a person resident outside India shall not be less than the valuation of capital instruments done as per any internationally accepted pricing methodology for valuation on an arm’s length basis duly certified by a Chartered Accountant or a Securities and Exchange Board of India registered Merchant Banker or a practicing Cost Accountant, in case of an unlisted Indian Company’. The same position is mentioned in RBI Master Direction no.11/2017-18 dated 4th January 2018 (as amended).
The facility for filing of MEIS applications for shipments made from 1st April 2020 onwards was disenabled by the DGFT on July 23rd this year, for want of funds. Now, we are unable to file the MEIS applications for shipments made before 1st April 2020 also. Will we ever get this benefit? What should we do?
I think you will get the MEIS duty credit scrips when the government has enough money and allows you to file the applications. You may wait till that happens or move the Courts against the DGFT disenabling the facility to file the MEIS applications.
We refer to CBIC Circular no. 107/26/2019-GST dated 18th July 2019 clarifying various issues relating to supply of Information Technology enabled Services. We understand that this circular has been held in abeyance. What is the current position?
That Circular has, in fact, been withdrawn by the CBIC through its Circular no. 127/46 /2019-GST, dated 4-12-2019.