n NISM Certifications
VII NISM Series VII
Medium

The entities in IFSC at GIFT, Gandhinagar are recognized as non-resident entities under FEMA regulations — True or False?

Practice question from NISM Series VII Mock Test 4 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. True

    Correct answer

  2. B

    False

Why this is the answer

IFSC entities in GIFT, Gandhinagar are considered foreign territory dealing in foreign currency and are recognized as non-resident entities under FEMA, enjoying benefits like exemptions from STT, commodity transaction tax, dividend distribution tax, capital gains tax, and income tax.

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