A Foreign currency accounts for residents
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What is a Resident Foreign Currency (RFC) account?
An RFC account is a bank account maintained in foreign currency by a resident Indian who has returned from abroad, allowing them to hold foreign exchange earned during their non-resident period.
What is the full form of RFC in the context of foreign currency accounts for residents?
Resident Foreign Currency account held in India.
Who is eligible to open an RFC account in India?
Persons of Indian origin who have returned to India after being resident abroad for a continuous period of not less than one year are eligible to open RFC accounts.
Under which Act was FEMA enacted replacing FERA for governing foreign exchange in India?
Foreign Exchange Management Act, 1999 replaced FERA 1973.
Under which regulation are RFC accounts governed in India?
RFC accounts are governed under the Foreign Exchange Management Act (FEMA), 1999, and the Foreign Exchange Management (Foreign Currency Accounts by a Person Resident in India) Regulations.
Which type of resident account allows retention of foreign exchange from permitted sources?
Resident Foreign Currency (RFC) account allows such retention.
What are the permissible currencies for RFC accounts?
RFC accounts can be maintained in any freely convertible foreign currency such as USD, GBP, EUR, JPY, etc.
In what form can an EEFC account be maintained by residents?
EEFC account is maintained as a current account only.
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