Did You Know? · Corporate & Commercial Contracts
Do you know a resident individual can remit only USD 250,000 per financial year under the LRS?
The LRS cap is a single combined ceiling across all permitted purposes, not USD 250,000 per purpose.
The Liberalised Remittance Scheme cap under FEMA - currently USD 250,000 per financial year per individual - covers the aggregate of all permitted current and capital account transactions combined: education, travel, gifts, investment in foreign securities or property, and more. It is a single combined ceiling, not USD 250,000 per purpose, which is a frequent point of confusion for resident individuals investing abroad.