Quick Answer
4 min read|Updated: Mar 20, 2026|Published: Jun 10, 2019 Reserve Bank of India Annual Return (FLA return) on Foreign Liabilities and Assets of Foreign Investments (FDI) under the FEMA Act 1999. RBI vide notification no- RBI/2010-11/427 A.P.
Information Required to report in FLA return
the company accounts not audited before the due date of submission. Then it has to submit based on unaudited accounts. And, if the accounts closing period is different from the reference period of the company. Then the information has given based on the internal assessment.
Procedure for Submission of the Annual (FLA Return) to RBI
Annual FLA returns have mandatory under the FEMA 1999. The company required to submit the same return based on the audited/unaudited account by July 15 every year.
What are the latest changes in Annual Return (FLA return)?
With the objective to enhance the security-level in data submission and further improve the data quality, the present email-based reporting system for submission of the FLA return will be replaced by the web-based system online reporting portal
Reserve Bank would provide a web-portal interface https://flair.rbi.org.in to the reporting entities for submitting “User Registration Form” (containing entity identification and business user details, where LLPs and AIFs will no longer require to use dummy CIN). The successful registration on web-portal will enable users to generate RBI-provided login-name and password for using FLA submission gateway and would include system-driven validation checks on submitted data.
You can get the latest form from the following link https://flair.rbi.org.in/fla/faces/pages/login.xhtml Annual return on Foreign Liabilities and Assets
Reserve Bank would provide a web-portal interface https://flair.rbi.org.in to the reporting entities. For submitting “User Registration Form” containing entity identification and business user details. The successful registration on web-portal will enable users to generate RBI-provided login-name and password for using FLA submission gateway and would include system-driven validation checks on submitted data.
The form will seek investor-wise direct investment and other financial details on a fiscal year basis as hitherto. Where all reporting entities are required to provide information on FATS related variables (it was mandatory only for subsidiary companies earlier). In addition, the revised form seeks information on the first year of receipt of FDI/ODI and disinvestment.
The provision to file a revised return is also provided, in case of error or lapse in the first submission. The system allows FLA Returns of Previous reporting period provided prior approval by RBI has obtained.
Email based submission has discontinued and only online submission has permitted.
CONSEQUENCES OF NOT FILING OF ANNUAL RETURNS (FLA RETURNS)
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Non Compliance
Non-filing of the return before the due date will be treated as a violation of FEMA. And the penalty clause may be invoked for violation of FEMA. The penalty as prescribed under the FEMA has “THRICE” the sum involved in contravention or Rs. 2 lakh. if the offense has non-quantifiable and if the contravention is continuing every day, then Rs. Five Thousand for every day after the first day during which the contravention continues.
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Compounding for the delay in the filing
The powers to compound the contraventions have delegated to all Regional Offices of RBI. As (except Kochi and Panaji) without any limit on the amount of contravention.
In case of any help or assistance in filing your FLA return in Chennai, FLA return in Mumbai, FLA return in Bangalore contact Virtual auditor support team on 9962 230 333/9513 93 9333/044- 48560333 /mail us support@virtualauditor.in, our team will guide through the entire process and help you comply
