S0014 Purpose Code: Repatriation of Non-Resident Deposits (FCNR(B), NR(E)RA etc.)

Purpose code S0014 is used when an Indian company or resident investor repatriates eligible balances from non-resident deposit accounts held abroad.

What is the S0014 purpose code?

Purpose code S0014 is used when an Indian company or resident investor sends money abroad to repatriate balances from non-resident deposits such as FCNR(B), NR(E)RA and similar accounts. It covers outward remittances related to withdrawal, closure, or transfer of these non-resident deposits in line with RBI rules. It does not apply to routine import payments or service imports, which use the relevant current account purpose codes instead. Under RBI FEMA guidelines, this outward payment is classified under capital account transactions and reported accordingly.

When to use S0014 purpose code?

Use S0014 when you are remitting funds abroad that represent repatriation or movement of balances from eligible non-resident deposit accounts held under RBI regulations. It is the correct RBI purpose code for capital account flows linked to FCNR(B), NR(E)RA and similar non-resident deposits, whether the remitter is an Indian company or a resident individual investor. S0014 covers the underlying capital account transaction, not payments for imports or services.

When to use a different code:

• Use the purpose code for import of goods when the payment is for purchasing physical goods from abroad
• Use the purpose code for import of services when the payment is for professional, technical or software services from overseas
• Use the matching P code when you are receiving money rather than paying

Who typically uses S0014 purpose code?

Indian companies and resident individual investors who repatriate balances from non-resident deposit accounts like FCNR(B) or NR(E)RA use S0014. It applies where an Indian entity or resident investor initiates a capital account remittance connected to these deposits under RBI and FEMA rules.

Examples of transactions covered

• Remitting funds abroad on closure of an FCNR(B) deposit where the balances are being repatriated
• Transferring eligible balances from an NR(E)RA deposit abroad back to the overseas account holder under RBI guidelines
• Sending money out of India to settle a capital account adjustment related to a matured non-resident deposit
• Repatriating interest and principal from multiple non-resident deposits as part of a restructuring of overseas holdings

When NOT to use S0014 purpose code

• The payment is for importing physical goods from a foreign supplier (use the appropriate import of goods purpose code)
• The payment is for professional, technical, IT or other services from abroad (use the appropriate import of services purpose code)
• The payment relates to foreign direct investment, portfolio investment or external commercial borrowings (use the specific capital account purpose code for that instrument)
• You are receiving money rather than paying (use the matching P code)

Documents required

To send a payment under S0014, keep the following documents ready so your authorised dealer bank can verify the transaction and report it correctly under FEMA.

How is a S0014 Purpose Code declared?

Declaring the code is pretty straightforward. Here's how the payment gets tagged and reported.

1. Obtain deposit records: Get the latest statement or closure advice for the FCNR(B), NR(E)RA or other non-resident deposit that you are repatriating.
2. Complete required RBI filings: Ensure any specific RBI permissions or capital account reporting requirements for the non-resident deposit repatriation are complied with before remittance.
3. File Form 145: Submit the declaration before remitting, with Form 146 from your CA where the taxable amount exceeds ₹5 lakh in the Tax Year.
4. Complete Form A2: State the purpose of the outward remittance as S0014 and submit the supporting documents to your bank.
5. Get your MT103: Once the payment is sent, request the SWIFT MT103 as proof and retain your Form A2 record.

Common mistakes to avoid

A few common slips can hold up your payment or cause compliance issues. Here's what to watch for.

1. Confusing capital with current account payments: Using S0014 for routine imports or service payments instead of the correct current account purpose code.
2. Code and invoice mismatch: Selecting S0014 when the documentation or bank records describe a different type of transaction, which flags the payment.
3. Assuming a Rule 220(3) exemption: Skipping Form 145 on a payment that is not on the specified list, which carries a ₹1,00,000 penalty per instance.
4. Incomplete documents: Missing deposit statements, RBI permissions or Form A2, so the bank holds the remittance until provided.
5. Missing PAN or KYC: Incomplete verification stops the bank from releasing the payment.
6. Using an outward code for an inward receipt: Applying S0014 to money coming in instead of the matching P code.

How Skydo helps Indian businesses with cross-border payments

S0014 covers capital account transactions, which sit outside the PA-CB framework and which Skydo does not process. If you also invoice foreign clients or pay overseas vendors, here is where Skydo fits.

1. Complete onboarding: Share PAN, Aadhaar and business details. Setup is fully online and takes about five minutes.
2. Get virtual account details: Receive from international clients in USD, GBP, EUR and other currencies they already pay in.
3. Pay your overseas vendors: Send payments to foreign suppliers, software platforms and service providers under Skydo's outward approval.
4. Documentation in one place: Your invoices, remittance records and payment proofs stay together for your CA and your AD bank.
5. A rate you can see: The live mid-market rate with a transparent fee, instead of a markup hidden inside the bank's rate.