FCTRS Form - Guidelines - Step by Step

FC-TRS

Step 1: Login into SMF and reach your workspace.

Click on the left navigation button and select Single Master Form.

Step 2 : Click on drop down menu “Return Type”. Select “Form FC-TRS” and click on Add new return. The user will be taken to form FC-TRS.

The complete form is arranged into two parts, Common Investment details and “Form FC-TRS” which is further arranged into 3/4 tabs.

(Common Investment details: These details are common to all returns that can be reported in SMF.)

Step 3: Fill up the common investment details as below:

Field Name	Description
CIN	Pre-filled, non-editable as per the BU registration details
Company name	Pre-filled, non-editable as per the BU registration details
PAN number	Pre-filled, non-editable as per the BU registration details
Application date	Pre-filled, non-editable, system date
Entry Route*	Select Automatic or Government as applicable for the investment being reported. In case the Government route is selected attach the requisite Government approvals. Clarification: where the company belongs to a sector with mixed entry routes, for example brownfield pharmaceuticals where up to 74% is under automatic route and beyond up to 100% under Government route. If the investment being reported is under 74%. The entry route selected shall be automatic and in case the investment being reported would result into foreign investment beyond 74%, the entry route selected shall be government with relevant government approvals attached.
Applicable Sectoral cap/ Statutory ceiling*	Applicable sectoral cap as per FEMA 20(R). Clarification: where the company belongs to a sector with mixed entry routes, for example brownfield pharmaceuticals where up to 74% is under automatic route and beyond up to 100% under Government route, the applicable sectoral cap would be 100%.
Whether the foreign investment received is for a specific project/ manufacturing unit/ plant?	Select Yes or No as applicable. If yes is selected, fill up the details as below: PIN Code Enter the PIN code and click on arrow State Pre-filled as per PIN code City/District Enter the city/district Brownfield/Greenfield Enter brownfield or greenfield as applicable for the investment.

Step 4 : Fill up the details in form FC-TRS as below :

Step 4.1-Tab 1-Common details

Field name	Description
Transfer by way of	Select sale or Gift as the case may be
Whether the change in the shareholding pattern due to this transaction being reported has already been accounted in the pre transaction shareholding pattern:*	Select Yes or No In case Yes is selected then there will not be any change in the shareholding pattern for this transaction being reported. In case No is selected changes are reflected in the shareholding pattern for this transaction being reported accordingly. For explanation refer to the chapter under head “Shareholding Pattern”
Transfer from	Select from the following options as applicable: Resident to Non-resident (including NRI/OCI on repatriable basis) Non-resident (including NRI/OCI on repatriable basis) to Resident NRI /OCI/eligible investor on non-repatriable basis to Non-resident (including NRI/OCI on repatriable basis) Non-resident (including NRI/OCI on repatriable basis) to NRI/OCI/eligible investor on non-repatriable basis
Transfer Type	Select from the following options as applicable: Transfer as per Regulation 10(3) of FEMA 20(R)-Sale of capital instruments from a person resident outside India to a person resident in India Transfer as per Regulation 10(4) of FEMA 20(R)-Sale of capital instruments from a person resident in India, including NRI/OCI or eligible investor under Schedule 4 to FEMA 20(R) to a person resident outside India Transfer as per Regulation 10(5) of FEMA 20(R)-Gift of capital instruments from a person resident in India, including NRI/OCI or eligible investor under Schedule 4 to FEMA 20(R) to a person resident outside India Transfer as per Regulation 10(12) of FEMA 20(R)-Invocation of pledge Transfer of capital instruments as per Regulation 3 to FEMA 20(R) Others (please specify)
Date of Transfer	Select the date of transfer from the calendar. (In case the date of transfer is after the date of filing of FC-TRS form i.e future date, select the date as application date and provide the date of transfer as per the Transfer agreement as an attachment under “Other attachments”).
Nature of Transfer	Select from the following options as applicable: Offer for sale in an IPO/ FPO Private arrangement Swap of capital instruments Sale on stock exchange other than those under Schedule 2 and Schedule 3 of FEMA 20(R) Purchase on stock exchange other than those under schedule 2 and Schedule 3 of FEMA20(R) Participating interests / rights in oil fields Merger / Demerger / Amalgamation Buy back Invocation of pledge Others (please specify) NOT applicable for Transfer by Gift
Buyer and Seller details for sale or Donee and Donor details for gift	Fill up the buyer and seller details for transfer by sale or Donee and Donor details for Transfer by Gift.

Step 4.2-Tab 2-Particulars of Transfer

Field Name	Description
Type of capital instrument	Select the type of capital instrument as transferred from the drop down menu. In case of gift, if the shares are transferred select as “Shares transferred as Gift”, if not, then the capital instrument as transferred
Number of Instruments	Enter the number of instruments as transferred.
Conversion ratio	In case of Equity shares, partly paid up shares, shares transferred as Gift, participating interest/rights in oil fields enter as 1:1. For CCDs /CCPs/ share warrants enter the pre-fixed upfront conversion ratio. (In case there is no upfront conversion ratio enter the ratio as per the maximum permissible conversion of CCDs/CCPs/share warrants into equity shares in compliance to the pricing guidelines).
Number of equity shares on fully diluted basis	Auto-populated as per the conversion ratio and the number of instruments
Face value	Enter the face value of the equivalent equity shares. In case of CCDs/CCPs /share warrants do NOT enter the face value of CCDs/CCPs/share warrants as it will not give the correct shareholding pattern. For participating interest/rights in oil fields enter the value as 0 (zero).
Transfer price per instrument	Transfer price. For Gift, enter transfer price as 0 (zero).
Total amount consideration	Auto-calculated as Number of instruments multiplied by transfer price per instrument.
“ADD” button	Click on the ADD button after entering above details and check that all details are reflected in the adjoining table. In case of multiple instruments being transferred repeat the above process. In case the entered details needs to be modified click on the Edit icon in the table. The details would be re-populated in the fields, modify accordingly and click on Save Button. Check for the details in the adjoining table. In case the details needs to be deleted click on the Delete icon in the table.
Fair value of the capital instruments at the time of transfer	Enter the fair value of the capital instrument being transferred and attach the valuation certificate form the authorized person and Transfer agreement (relevant extracts) along with the consent letter of buyer and seller at “Valuation certificate.” In case where multiple instruments are being transferred, enter the fair value of one instrument and attach a clarificatory letter along with the valuation certificates at the attachment “Valuation certificate” In case of Gift, the field may be kept blank.

Step 4.3 : Tab 3-Remittance Details – Not applicable for Transfer by Gift

Field Name	Description
Mode of payment	Select from the drop down menu
Name of AD bank	Click on the search icon. A pop-up window will open, select the AD bank facilitating the transfer.
Address of the AD bank	Address is auto-populated based on bank selection. In case the address is not correct, edit the details accordingly.
Amount remitted/received in Rs	Amount in Rs as being received or remitted in this reporting
Whether and Tranche number	Select from the drop down menu as below Payment on full consideration Date of remittance Enter the Date of Remittance. In case the remittance date is future date, it may be left blank. Tranche number Enter tranche number as 1 Is last tranche Select Yes Payment on deferred basis In case it is first tranche payment Tranche number Enter Tranche number as 1 (one) Amount in the tranche Enter the Amount as received in the tranche Date of remittance Enter the Date of Remittance. In case the remittance date is future date, it may be left blank. Is last tranche Select YES or NO as applicable In case it is 2,3,4…..etc tranche Tranche number Enter Tranche number as 2,3…etc as applicable Amount in previous tranche(s) Enter the total amount as received in all earlier tranche(s). FC-TRS details Enter the FC-TRS reference number along with the tranche amount reported in the FC-TRS Amount in the tranche Enter the Amount as received in this tranche Date of remittance Enter the Date of Remittance. In case the remittance date is future date, it may be left blank. Is last tranche Select YES or NO as applicable Indemnity Arrangement In case it is first FC-TRS reporting Tranche number Enter Tranche number as 1 Amount indemnified /Amount being paid as indemnity Enter the Amount indemnified in Rs Date of remittance Enter the Date of Remittance. In case the remittance date is future date, it may be left blank. This date is the date on which the Amount is received for the transfer Is last tranche Select NO In case it is first FC-TRS reporting for reporting indemnity payment Tranche number Enter Tranche number as 2 Amount in previous tranche(s) Enter the total amount as received in all previous tranches FC-TRS details Enter the FC-TRS reference number along with the tranche amount reported in the FC-TRS Amount Indemnified /Amount paid as Indemnified in Rs Enter the Amount being paid as indemnity Date of Remittance Enter the date of remittance. Is last tranche Select YES or No as applicable
Whether the remitter is different from a foreign investor	Please select “NO” if the remitter is same as the foreign investor. In case the two are different (third party payment, if permissible), Please select “YES” enter the details viz., Name of the Remitter, Country of remitter, relationship between Remitter and foreign investor and attach the requisite documents
Declaration	Declaration text- I hereby declare that I have verified the information provided in this form and certify that the information provided is true, complete and correct. In case of any discrepancy in the above information, I may be held liable for the same. These declarations and submissions are made in compliance to the Foreign Exchange Management Act, 1999. I hereby attach requisite Declaration and other relevant attachment(s) for this reporting.* Check upon completing all details in the form.

Step 5.5-Tab 5-Shareholding Pattern

Field name

Description

Shareholding pattern

Particulars Pre-Transaction Post-Transaction Value of equity shares (on fully diluted basis) other than Foreign Portfolio Investment and indirect foreign investment or Value of Capital contribution/profit shares     Foreign Portfolio Investment     Indirect foreign investment- Value of equity shares (on fully diluted basis)     Total     Percentage     Pre transaction values are auto-populated from the Entity Master (tab 3) Post transaction values are auto-calculated based upon the details provided in the form. Post transaction=Pre transaction value of shares + Value of shares reported in the form. The Business user shall ensure that the details are correctly filled in the form, so that the shareholding pattern which is auto- calculated is correct.

Step 5.6: After filling in all details, click on Save and Submit for submitting the form.

“Save as draft” feature: The Business User can also save the draft and submit later, by filling in all mandatory details in the “Common details” page.