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<h1>Non-resident share application money must be reported in Annual Return on FLA per FEMA; see Section III for details.</h1> Share application money received from a non-resident investor should be reported in the Annual Return on FLA using the Online Web Based Reporting System as per FEMA guidelines. If the money is from an existing non-resident shareholder, it should be reported at item 2.1 of 1.b FDI and 2.b DI in Section III. This reporting depends on the percentage of equity and participating preference shareholding by the non-resident investor.
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