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What are the requirements for a Foreign company forming a subsidiary in India?

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What are the requirements for a Foreign company forming a subsidiary in India?

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A foreign company planning to form a subsidiary in India, in addition to meeting all requirements of forming a company, is required to seek governmental approval before investing in India. Some approvals are automatic, – RBI Approvals – though application is required for those approvals. Special Permission – FIPB Approvals – could be obtained to invest over and above the regular percentage allowed. See our FDI in India Sector wise Guide for more information on various conditions of investing in India. Also see Withholding Tax Rates For Foreign Companies Doing Business In India Under The Tax Treaties & the Joint Ventures in India.

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