No prior permission from BOI is required for entering into agreements for remitting fees for the purpose of royalty payments, technical know-how and technical assistance fees, if the total fees and other expenses connected with technology transfer (service fee, marketing commission etc.) are within the following prescribed limits:

• For new projects such fees and other expenses should not exceed an aggregate limit of 6% of the CIF* value of imported machinery.
• Recurrent annual fees for royalties and other expenses such as fees for technical know-how, technical assistance, operational services, marketing of products etc. should not exceed an aggregate limit of 6% of the previous year's sales of the firms as declared in the tax return.

Once the technical transfer agreements falling within the above limits are signed, these are required to be furnished to BOI for registration.

Proposals which are not covered under the prescribed limits will require prior approval of BOI for which an application has to be submitted, along with necessary documents and a copy of the relevant draft agreement.

*CIF=cost, insurance and freight