FERA, enacted in 1973, regulated foreign exchange dealings in India. Replaced by FEMA in 2000, which focuses on managing foreign exchange while promoting trade and investments. Key differences include property acquisition criteria, shifting from citizenship under FERA to residency under FEMA.
NRIs face challenges selling property in India due to sales tax rules. Understanding these regulations is crucial for minimizing tax liability. Strategies include reinvesting the sale proceeds in a new property or utilizing the Capital Gain Account..