According to earlier RBI Circular [A.P.(DIR Series) No. 82 dated February 21, 2012] any persons, firms and companies for making payments, exceeding USD 5,000 or its equivalent towards imports into India, application for such payment must be made in Form A-1.
RBI communique today (dated 13.02.2015) said that in order to further liberalize and simplify the procedure, it has been decided to dispense with the requirement of submitting a request in Form A-1 to the AD Category –I Banks for making payments towards imports into India.
AD Category –I may, however, need to obtain all the requisite details from the importers and satisfy itself about the bonafides of the transactions before effecting the remittance.
