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LRS excludes credit card expenses abroad
The Business Guardian
|July 02, 2023
The finance ministry amended the foreign exchange management rules to exclude international credit card spends from the purview of liberalised remittance scheme (LRS).
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The amendment to the Foreign Exchange Management (Current Account Transactions) Rules, 2000, will be effective retrospectively from May 16, the ministry said in a notification, “the use of International Credit Card for making payment by a person towards meeting expenses while such person is on a visit outside India” will not be covered under LRS, the notification said while inserting Rule 7 in the FEM (CAT) Rules.
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