Current Account Transactions - Remittance for Advertisement on Foreign Television
AP (DIR Series) (2001-2002) Circular No. 44, dated 14-5-2002
Current Account Transactions - Remittance for Advertisement on Foreign Television
Attention
of authorised dealers is invited to AP (DIR Series) Circular No. 11 dated May
16, 2000, enclosing therewith a copy of Government of India Notification No.
G.S.R. No. 381(E), dated May 3, 2000. In terms of item No. 13 of Schedule III
of the Notification prior approval of Reserve Bank is required for remittance
of foreign exchange for advertisement on foreign television by a person whose
export earnings are less than Rs. 10 lakhs during each of the preceding two
years, unless the payment is made from their EEFC account.
2. It is
clarified that before making any remittance for advertisement on foreign
television on behalf of residents who do not require any prior permission from
the Reserve Bank, authorised dealers should obtain a certificate from a
Chartered Accountant certifying that,
a. applicant
exporter satisfies the criteria of having export earning of more than Rs. 10
lakhs during each of the preceding two years, and
b. the
advertisement for which foreign exchange is being remitted will be broadcast by
the foreign television company in foreign countries and not in India alone.
3. Authorised
Dealers may bring the contents of this circular to the notice of their
constituents concerned.
4. The
directions contained in this circular have been issued under section 10(4) and section
11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999).