APPLICATION FOR PORTFOLIO INVESTMENT SCHEME (NRE)

Date:
Broker's name :_____________________
The Manager
NRI and PIS Services Customer's PAN :______________________
HDFC Bank
______________branch.

Dear Sir,

Ref: Application for permission to deal in shares in secondary market under the Portfolio
Investment Scheme (PIS)

We hereby appoint HDFC Bank as a Designated Bank for PIS. We hereby advise that we have read and
understood the terms and conditions as specified under the portfolio Investment Scheme and hereby
declare that we agree to comply with all statutory formalities under the PIS scheme from time to time.
We confirm that as on date, we do not hold PIS PERMISSION on repatriable basis with any other bank.
We hereby agree:

 The facility is available only to customers maintaining their PIS account with designated branches of HDFC
Bank .

 I/We agree that if the PIS account/PIS Permission is transferred from any other bank to HDFC Bank, then
I/We shall furnish a “No Objection Certificate” from my/our present banker along with a holding statement
(having details of scrip name, date of purchase, cost of purchase, quantity) as specified by HDFC Bank along
with a latest copy of the Demat Statement of securities.

 To deal with only one designated branch at any given point of time for PIS. All transactions under PIS will be
routed through designated branch only.

 That the NRE PIS accounts and PIS PERMISSION will be held with only one bank at any given point in
time.

 The NRE PIS account will not be used to route any other transactions besides transactions related to the
purchase and sale of shares. All routine transactions, Demat charges, dividend warrants etc will be routed
through the regular NRE NON-PIS savings account held with the bank.

 To submit the complete details of all shares held by me which was purchased from the Primary market as a
non resident on repatriation basis in the formats as specified by the bank.

 To do only delivery based transactions and not indulge in speculative transactions. To purchase and sell
shares of an Indian company, through registered broker on a recognized stock exchange.

 To place purchase orders only if the Bank can earmark sufficient balance covering the purchase
consideration of securities and other applicable charges in client's Bank account.

 To report to the Bank all transactions done directly through stockbrokers within 48 hours after trade, by
submitting original broker contract notes to PIS designated branch only where PIS account is maintained.
Details like, PIS Permission number, PIS account,Demat Account (DP and Client ID), purchase payments
(cheque no, date of cheque, gross amount of purchase) will be mentioned on purchase contract note. To
mention PIS PERMISSION number on sale contract note.
 To report all purchase or sale of shares in the secondary market through the PIS account.

 To send details to the Bank of all payments made to the stock broker on account of purchase of securities
along with the details of the securities purchased in the format prescribed or may be prescribed by the Bank
from time to time.

 Payments for shares/ receipts from the broker on account of sale of shares will be made against the
amounts specified on the bills and no adjustment of purchases against sale transactions will be done even if
various sale and purchase transactions are doing during the same period.

 To deposit all payment instruments (cheque/DD etc) received from a stockbroker on account of sale of
securities for crediting in appropriate account along with complete details like PIS Permission number, PIS
account, Trade date and the bills at PIS designated branch where PIS account is maintained.
 The purchase of equity shares/convertible debentures in each company with repatriation benefits shall not
exceed 5 % (or as prescribed by Reserve Bank of India from time to time) of the paid up capital of the
company, subject to an overall ceiling of 10 % (or as prescribed by Reserve Bank of India from time to time)
All consequences of failure in such compliance, including any losses arising out of reversal of transactions
shall be to our account.

 The bank will recover its fees /charges applicable for PIS by the debit to the NRE savings (non-PIS) account
held.

 The bank will deduct capital gains tax as applicable on each transaction and the sale proceeds net of tax will
be credited to the designated account within 48 working hours after receipt of clear funds from broking firm.

 To submit the CA certificate and undertaking as per the formats specified under PIS along with net sale
proceeds of shares in case I/We are arranging to PIS capital gains separately through our chartered
accountant.

 The Bank will be able to set off losses against capital gains on equity shares only. The benefit of set off of
losses is available per contract note basis (i-e: losses made in one contract note can be set off against the
gains made on that contract note only. The bank will report purchase and sale contract notes on FIFO basis
and compute capital gain tax accordingly, even if trades have been executed through multiple brokers.

 In case I sell shares some of which belong to PIS and others to Non PIS account on one trade date then all
the sale proceeds after the deduction of TDS will be credited to the PIS account.

 Tax deducted at source by the bank will not be on exchange rate adjustment.

 The sale made will be adjusted on First In First Out basis (FIFO) at the PIS permission level (for eg: if a
customer has multiple Demat accounts or multiple PIS savings account under one PIS permission) - FIFO
will be applied across them while calculating capital gains) for the purpose of calculating capital gains.If any
pledged shares are updated in the ledger then the same will also be considered for computation of capital gain as a part of
FIFO basis

 The bank will not undertake any follow up for deliveries of any shares purchased by us.

 The bank will not undertake monitoring and follow up of corporate actions associated with any holdings of
the account holder.

 To ensure before placing / conveying Sale orders that I/We actually hold free shares (shares pending
Demat or locked /pledge are not free shares).

 Not to make any contract for sale either directly through a stockbroker or through the Bank in respect of
any securities, which the client has not taken delivery of.

 Shares purchased in the primary market, shares under corporate action are not to be considered under the
PIS scheme. Therefore any sales proceeds pertaining to NON PIS Scheme will be credited directly into your
NON -PIS account. However, in case the sale contract consist of PIS as well non PIS shares, then the sale
proceeds will be credited to PIS account only.

 In case of a delay or default in providing details pertaining to shares within the prescribed time, I/we shall
be solely responsible for the following consequences:

 Any impact on FIFO method of capital gains computation for such transactions and/or subsequent
transactions

 Any delay in credit to my PIS/Savings Bank account.

 In case I/We are unable to provide documentary evidence that the shares were bought from the NRE
accounts to the satisfaction of the Bank, the sales proceeds will be credited to my Non Repatriable Account (
NRO) or shall be kept on hold by the Bank till the required details are submitted by me.

 I/We shall not purchase Banned/Cautioned scrips that are prohibited by RBI. In case of default, I/We shall
arrange to sell the same immediately and losses and applicable charges, if any, on account of such
transactions will be borne by me/us and I/we shall be responsible for legal consequences, if any. Further, the
First in First out (FIFO) method of Capital Gain computation shall be affected and accordingly Tax shall be
deducted at source.

 I/We agree to adhere to the RBI/ NSDL/ CDSL guidelines and restrictions on purchase of shares (Banned /
Caution/ Breach/ Red Flag) and shall refer RBI /NSDL/ CDSL website before dealing on recognized stock
 exchange.

 I/We shall intimate the bank about any change in the status of security holdings on account of Corporate
Actions or otherwise (IPO/FPO, Rights, Buy Back, ESOP, Inheritance, Gift, off-market transactions etc.,) to
facilitate proper reporting under NRE to RBI and Capital Gain computations as per the Income Tax Act,
1961.
 As an NRI /PIO, under PIS facility I/we will not invest in any company which is engaged or proposes to
engage in the following activities (i)Business of chit fund, or ii) Nidhi company, or ( iii) Agricultural or
plantation activities, or (iv) Real estate business* or construction of farm houses, or (v) Trading in
Transferable Development Rights (TDRs).[* Real estate business" does not include construction of housing /
commercial premises, educational institutions, recreational facilities, city and regional level infrastructure,
townships].

 In case I wish to avail of DTAA benefit; I will submit the required documents in the beginning of every
financial year.

 Any changes such as a change in the residential status/name/address/email ID/telephone numbers/Contact

person etc, in any of my Accounts shall be intimated to the Bank Immediately.

The Bank shall comply with instructions and procedures as laid down by Regulatory Authorities for PIS from
time to time.

I /We shall indemnify and hold harmless the Bank against any direct losses costs or claims which Bank might
incur/suffer as a result under PIS.
I/We specifically agree to hold the Bank harmless from any and all claims and agree that the Bank shall not
be liable for any loss, actual or perceived, caused directly or indirectly by equipment failure, communication
line failure, system failure, Internet failure, securities failure on the Internet, unauthorized access or any
other problem technological or otherwise, that might prevent the client from executing or the Bank from
executing an order or other conditions beyond Bank's control.

Yours Sincerely,

First Applicant Second Applicant Third Applicant

FEE SCHEDULE FOR PORTFOLIO INVESTMENT SCHEME – NRI CUSTOMERS

Sr Fee Head Fees *

No
PIS approval issuance fee ( one time fee) Rs.1000.00
1
Annual account maintenance fee Rs.1000.00
2
PIS Reporting Charges
3
Purchase Rs.100 per contract

Sale Rs.100 per contract

Purchase / Sale on same contract Rs.200 per contract

Processing of sale proceeds purchased through Secondary market

4 under PIS - Transaction Fees
- Transaction value unto Rs 50000.00 Rs.100.00

- Transaction value between Rs 50000.00 to

Rs.250.00
Rs 300000.00

- Transaction value above Rs 300000.00 Rs.500.00

Processing of sale proceeds purchased through Primary market as
5. a resident / non-resident / inherited (by a customer
registered for PIS)

- Transaction value unto Rs 50000.00 Rs.200.00

- Transaction value between Rs 50000.00 to
Rs.400.00
Rs 300000.00

- Transaction value above Rs 300000.00 Rs.600.00

Processing of sale proceeds purchased through Primary market
6 (customer not registered for PIS). Rs.500.00

* Plus Service tax and education cess as applicable.

 Charges/ service standards are subject to revision at the Bank's sole discretion and as informed by
circulars sent by ordinary post
 Account Maintenance fees are non refundable and levied on a financial year basis.
 Fees for issuing approvals and annual account maintenance fee will be debited annually, while the fees for
processing the sale proceeds will be debited each time the transaction is processed.
 All fees will be debited to the designated savings account.
 The above charges are independent of the Demat account charges and the brokers fees

I / We have accepted the above schedule of charges.

Sign:
_______________ _________________ ________________
1st Applicant 2nd Applicant 3rd Applicant

(To be signed by all holders and submitted along with the PIS application form)
 RPI
(To be submitted to designated branch of an authorised dealer)

Application from Non-Resident individuals of Indian Nationality or origin (NRIs) for purchase of eligible securities
@ through stock exchange/s in India with repatriation benefits

I NRE non PIS SB account Number

 II NRE PIS SB account Number
with PIS designated branch

3
Whether the NRI applicant already
holds any eligible securities acquired
through Primary market with benefit
of repatriation .If so,please attach a
complete list of such
shares/convertible debentures
indicating the name and address of
the company,total number and face
value of the shares/convertible
debentures held along with reference
number and date of RBI approval.
(Format of Annexure 1 attached)

I/We solemnly declare that the particulars given above are true and correct to the best of my/our
knowledge and belief and that I/we am/are citizen(s) of India/person of Indian origin.

I/We hereby undertake that I/we have no dealing/will not deal with any other designated branch/bank under PIS.

I/We agree and undertake to ensure that my/our total holding of equity/preference
shares/convertible debentures in any one Indian company that may be allowed to be purchased through stock exchange/s
(including the equity/preference shares/convertible debentures already held, if any, in that company) with repatriation
benefits/non repatriate shall, at no time, exceed five per cent of the paidup capital/paid-up value of each series of convertible
debentures of that company.

Place: _____________

Date: _____________

____________________________
(Signature of the first holder)

_________________________
(Signature of second holder)

__________________________
(Signature of third holder)

@ The eligible securities will include shares/debentures/bonds of Indian companies,Govt.securities (other than
bearer securities)/treasury bills/units of public sector/private sector mutual fund scheme including units of UTI.

Note :For the purpose of the facility of investment in shares and securities, a person (not being a citizen of
Pakistan or Bangladesh) shall be deemed to be of Indian Origin, if (a) he,at any time, held Indian Passport
or (b) he or either of his parents or any of his grandparents was an Indian and a permanent resident in
undivided India at any time. A spouse (not being citizen of Pakistan or Bangladesh) of a citizen of India or of
a person of Indian origin will so be deemed to be Indian Origin even thought she may be of non-Indian
origin.
 NRE Annexure I (Primary Market Transactions)
Customer Name : ___________________________________________________

NRE PIS Permission Number : ____________________________________________________

Date of
Acquisitio
Acquisitio Number
Sr. n Price CLIENT Remarks/Corporate Actions
Name of Company/Security ISIN n Shares / DP ID
No. (per ID details
(DD/MM/ Quantity
share)
YYYY)

Note:
In absence of RBI approval number, Documentary evidences to be obtained confirming the shares are acquired on repatriation basis.
Annexure to be submitted along with latest demat holding statement. The name and total number of securities mentioned in above annexure should match as per latest Demat holding.
As per current Income Tax guidelines on LTCG: For computation of capital gains for securities acquired on or before 31 st January, 2018 the purchase cost of acquisition will be determined as stated below: Higher of-
The actual cost of acquisition of shares and b) the lower of –
i. The fair market value of shares on 31st January, 2018 and
ii. Sale consideration of shares
I/We confirm that the above securities are not acquired through other NRI's/Private arrangement from RI/NRI/any other similar mode, In case of such securities to be reported then I /We will report the same separately with all details .I/We also
confirm that the above shares acquired by me /us have been complied with STT provisions and are eligible for capital gain tax benefits available on sale of shares on stock market floor as per the Income Tax Act,1961and relevant regulations
issued thereon.

In case of ESOP shares, I/We will provide the details as per ESOP checklist and I/We confirm that if the perquisite tax is not paid in India then Fair Market Value (FMV) will not be considered as cost of acquisition for computation of capital gain
instead Exercise price will be considered as cost of acquisition.

I hereby indemnify and hold the Bank harmless at all times against any and all claims, liabilities, damages, losses, costs, charges, expenses (including, legal cost and fees), proceedings, and actions of any nature whatsoever made or instituted
against or caused to or suffered by the Bank directly or indirectly on account of wrong computation of capital gain taxes by placing reliance on aforementioned information/data and confirmation provided by me/us.

Account Holder's Signature ___________________________ _________________________ _____________________