FEMA Overview
Understanding export compliance requirements
FEMA Compliance
What is FEMA?
Foreign Exchange Management Act governs:
- Foreign currency transactions
- Export/import regulations
- RBI compliance
Key Requirements
For exporters:
- Realize export proceeds within deadline
- File SOFTEX for software exports
- Obtain FIRC for payments
- Report in EDPMS
Deadlines
- Realization: 9-15 months from export
- SOFTEX: 30 days from invoice
- FIRC: On receipt of payment
Penalties
Non-compliance can result in:
- Fines up to 3x amount
- ECGC issues
- Banking problems