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CAPITAL ACCOUNT TRANSACTIONS AND CURRENT ACCOUNT TRANSACTIONS As per section 2(e) of the FEMA, Capital account transaction is one which alters the assets or liabilities including contingent liabilities, outside India of persons resident in India, or assets or liabilities in India of person resident outside India and includes transactions specified in Sub-section(3) of Section 6 of the Act. The term current account transaction has been defined under section 2(j). of the FEMA to mean a transaction other than a capital account transaction and includes payments due in connection with foreign trade, other current business, services and short term banking and credit facilities in the ordinary course of business; payments due as interest on loan and as net income from investments; remittances for living expenses of parents, spouse and children residing abroad and expenses in connection with foreign travel, education and medical care of parents, spouse and children.

As per section 2(e) of the FEMA, Capital account transaction is one which alters the assets or liabilities including contingent liabilities, outside India of persons resident in India, or assets or liabilities in India of person resident outside India and includes transactions specified in Sub-section(3) of Section 6 of the Act.

**CAPITAL ACCOUNT TRANSACTIONS AND CURRENT ACCOUNT TRANSACTIONS** As per section 2(e) of the FEMA, Capital account transaction is one which alters the assets or liabilities including contingent liabilities, outside India of persons resident in India, or assets or liabilities in India of person resident outside India and includes transactions specified in Sub-section(3) of Section 6 of the Act. The term current account transaction has been defined under section 2(j). of the FEMA to mean a transaction other than a capital account transaction and includes payments due in connection with foreign trade, other current business, services and short term banking and credit facilities in the ordinary course of business; payments due as interest on loan and as net income from investments; remittances for living expenses of parents, spouse and children residing abroad and expenses in connection with foreign travel, education and medical care of parents, spouse and children. Thanks