MCA vide its notification dated May 4, 2022, issued an amendment in Companies (Share Capital and Debentures) Rules, 2014 in the format of Share Transfer form (form SH-4) in relation to the Foreign Exchange Management (Non-debt Instruments) Rules, 2019.
Declaration to be furnished in terms of whether there is a requirement of Government approval by transferee under FEMA before the transfer of shares. If such approval is required, then a copy of the approval is to be attached with the share transfer form.
The following declaration shall be inserted, namely.-
- The transferee is not required to obtain the Government approval under the Foreign Exchange Management (Non-debt Instruments) Rules, 2019 prior to the transfer of shares; or
- The transferee is required to obtain the Government approval under the Foreign Exchange Management (Non-debt Instruments) Rules, 2019 prior to the transfer of shares and the same has been obtained and is enclosed herewith.”.
This circular shall come into force with immediate effect
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