Liberalised Remittance Scheme (LRS)
The Reserve Bank of India (RBI) has issued a Master Direction for the Liberalised Remittance Scheme (LRS), which allows resident individuals to remit up to USD 2,50,000 per financial year.
The scheme has undergone several updates since its introduction on February 4, 2004. The key updates include:
December 20, 2006: Update to the scheme.
May 8, 2007: Further update to the scheme.
September 26, 2007: Another update to the scheme.
The Master Direction has been significantly amended, and the changes are listed at the end of the document for reader convenience.
The LRS aims to facilitate resident individuals in remitting funds abroad for permitted current or capital account transactions or a combination of both.
The RBI has provided a detailed framework for the implementation of the LRS, including the eligibility criteria, permitted transactions, and operational guidelines for authorised dealers.
Chat with the Master Direction:
Download: Master Direction – Liberalised Remittance Scheme (LRS) (Updated as on December 22, 2023)