Indian Subsidiary

1. What is an Indian Subsidiary?
An Indian Subsidiary is a company incorporated under Indian law but owned and controlled by a foreign parent company. It allows foreign companies to operate in India while maintaining a legal identity separate from the parent company.

2. Key Features of an Indian Subsidiary:

• Ownership: Foreign parent companies can own up to 100% equity in most sectors.
• Separate Legal Entity: The subsidiary operates independently, limiting the liability of the parent company.
• Compliance Requirements: Subject to Indian corporate, tax, and regulatory laws.

3. Services Offered:

• Assistance in obtaining Digital Signature Certificates (DSC) and Director Identification Numbers (DIN).
• Guidance on selecting the right business structure (e.g., private limited company, LLP).
• Name reservation and company incorporation.
• Assistance with Foreign Direct Investment (FDI) compliance.
• Obtaining necessary registrations, such as PAN, TAN, and GST.
• Assistance with banking, import/export, and other operational setup needs.
• Ongoing compliance support, including filing annual returns, tax filings, and transfer pricing documentation.

4. Benefits of Setting Up an Indian Subsidiary:

• Access to Indian Markets: Tap into one of the largest consumer bases in the world.
• Limited Liability: Protects the parent company’s assets from subsidiary liabilities.
• Operational Independence: Subsidiary can have its own management and decision-making process.
• Ease of Expansion: Simplifies entry into India for foreign businesses.

5. Documents Required for Indian Subsidiary Registration:

• Certified copies of the parent company’s incorporation documents.
• Details of directors and shareholders, including identity and address proofs.
• Proof of registered office in India (rent agreement, utility bill, etc.).
• Resolution from the parent company authorizing the subsidiary setup.

6. Process to Set Up an Indian Subsidiary:

1. Incorporation: Register the subsidiary under the Companies Act, 2013.
2. FDI Compliance: Ensure compliance with FDI regulations as per the Reserve Bank of India (RBI).
3. Registration: Obtain necessary licenses and registrations, including PAN, TAN, GST, and, if applicable, IEC for import/export.
4. Banking and Operations: Open a corporate bank account and commence business operations.

7. Post-Incorporation Compliance:

• File annual financial statements and returns with the Registrar of Companies (ROC).
• Adhere to tax compliance, including transfer pricing and withholding tax regulations.
• Ensure compliance with labor laws, GST, and other industry-specific regulations.

Why Choose Us?
We offer end-to-end solutions for setting up and managing Indian subsidiaries, ensuring a smooth and compliant entry into the Indian market.