What is a FIRC?
A FIRC stands for Foreign Inward Remittance Certificate that refers to a document that acts as a testimonial that all incoming international transfers ended up in the account where they were supposed to go. It is similar to a receipt that is used as proof that an individual or a company has received funds from outside of India.
The document contains the following information:
- Name of the Beneficiary,
- Name and address of the person who will send the money,
- Name and address of the first bank that will process the foreign transaction,
- Keep a record of the amount is paid by cash or to the person’s bank account,
- Demand Draft / Telegraphic Transfer number,
- Cheque number,
- The amount denominated in that foreign currency,
- The equivalent amount denominated in rupees,
- Name of the recipient of the funds,
- The exchange rate, and
- The purpose of the remittance.
How do you fill out a FIRC? And where do you file it?
Depending on the nature of the remittance transaction, your recipient in India may request a FIRC (or an advice) letter from the first bank that processed the overseas transaction, requesting them to send the FIRC to the recipient.
How to request a FIRC?
Your transaction is qualified for an e-FIRC if it falls under the scope of reporting under EDPMS. As a result, you would need to follow the instructions of RBI regulations and the bank in India where the remittance was received.
Your recipient will need to send a letter to the first bank with the transaction details in order to request a FIRC.
- Amount of the transfer
- Date of the transfer
- UTR number
- Account number
- Purpose of the transfer
- Name of recipient
Such a request will have to be accompanied by a FIRC request letter from the recipient’s bank detailing the transaction details. The recipient will then pay for the issuance of the FIRC, which will be delivered to the recipient of the transfer either physical or online.