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of <h1>Indian Entities Must Report FDI Transactions as Liabilities in Annual FLA Return Under FEMA 1999 Rules.</h1> Foreign Direct Investment (FDI) in India involves Indian entities issuing shares to non-resident entities under the FDI scheme. These transactions must be reported as liabilities in the Foreign Direct Investment in India section of the annual return on Foreign Liabilities and Assets (FLA) as mandated by the Foreign Exchange Management Act (FEMA) 1999.
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