Statutory Meaning & Definition
Transfer of equity shares, preference shares, or convertible instruments between residents and non-residents or vice versa under FEMA. Must comply with pricing guidelines (FMV for unlisted, market price for listed) and reporting requirements.
Frequently Asked Questions (FAQs)
What is Transfer of Shares in Indian corporate law?
Transfer of equity shares, preference shares, or convertible instruments between residents and non-residents or vice versa under FEMA. Must comply with pricing guidelines (FMV for unlisted, market price for listed) and reporting requirements.
Why is Transfer of Shares important for compliance?
Transfer of Shares is governed by the Foreign Exchange Management Act, 1999 and regulated by RBI. Understanding this concept is essential for ensuring regulatory compliance, avoiding penalties, and making informed corporate decisions in India.
Who should know about Transfer of Shares?
Transfer of Shares is relevant for company secretaries, compliance officers, chartered accountants, corporate lawyers, board members, and all professionals dealing with FEMA regulatory matters in India.
Contextual Analysis & Regulatory Circulars
Recent analysis and regulatory updates related to FEMA:
RBI FEMA Second Amendment Regulations 2026: EDF Deemed Submitted for Service Exporters from 1 October 2026
Published: 3 November 2026
RBI Forex Derivative Curbs: USD 5 Million Limit, 20% FERR and Rebooking Ban (October 2026)
Published: 10 October 2026
RBI Amends FEMA 23(R) Export-Import Regulations: Shorter Timelines and New Authorised Dealer Powers
Published: 25 September 2026
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