Documents will remain same as of required for any normal company for Indian resident.Like Identity Proof, Address Proof, Passport, Bank statement
In case of foreign director or shareholders, the document requirements will remain same but all documents should be apostilled and notarised from that country.
There are certain documents and declaration of shareholders/Directors that are required to be made during incorporation which are also need to apostille.
In case of Indian subsidiary company, detail and documents of holding company, details and documents of nominee of holding company and true copy of resolution of company for investing shares in other company is also required to be furnished.
In case a foreign promoter if signing and subscribing to the Memorandum and Articles of Association outside India then he is required to sign the same before the Indian Consulate present.
If such Promoter is signing and subscribing in India, then all the documents that he is signing must be notarized and further a copy of the passport declaring his stay in India is required to be produced before the Registrar. Witness to signatures should be made by any person available at the time of execution.
Registered Office Proof
Register office of all companies must be in India .If it is a Rented Property, Rent agreement and NOC from a landlord.If it is a Self-owned Propert, Electricity bill or any other address proof.
Documents submitted must be valid and not more than 2 month old.
Till the time investment decisions are not firm, business in India can be done by appointing an agent, distributor in India or directly providing services from abroad.
Such arrangements are subject to applicable tax withholding rules in India. The payment from India is governed by rules of Foreign Exchange Management Act (FEMA) and controlled by Reserve bank of India (RBI)
Initial approval of a LO is granted by Reserve Bank of India for 3 years. Subsequent request for an extension is generally approved for next 3 years. Further extensions can again be applied, however approval by Reserve Bank of India (RBI), is granted on a case to case basis
There is a requirement to appoint an Authorized Representative of an LO. He/She can be a resident of India or US. An Authorized Representative can be changed at the will of the Board of Parent Company. The person however must have an Indian Permanent Account Number (PAN). PAN is a unique number, obtained by registering at Indian Income Tax.
BO can be opened with a prior approval from RBI and it’s regarded as Foreign Company in India. As it’s not a separate entity from its parent company, all business risk and liabilities are directly assumed by the Parent company. It can conduct full fledged business activities in India, except Manufacturing. It can however subtract such activities to Indian vendors. BO, being a foreign company taxed at a higher rate (presently 40%).
You don't need to incorporate. In case you have awarded a specific contract in India, you can set up a PO without prior approval of Reserve Bank of India. After completion for the project the net of tax, proceeds can be repatriated to the Parent Company.
Most of the business sectors don't require a prior approval and 100% FDI is permissible. In all such cases, only reporting is required to RBI, within 30 days of receipt of equity/allotment of shares. Where ever automatic route is not available i.e. sectors which has a cap on FDI, prior approval from Foreign Investment Promotion Board (FIPB) is required e.g Whole Sale Trading.
Recently the requirement of Minimum Share capital (Private Limited- INR100K, Public Limited- INR500K) is being lifted by Indian Government. There is however requirement of minimum 2 Shareholders & 2 Directors (at least 1 to be resident director). There is also a provision of One Person Company (OPC), however it is allowed only to a resident Indian.
An address to be termed as a “Registered Office’ is required. Commercial or business address can be at a different location. There is no requirement of any minimum area, location etc. A business incorporated at any place in India, can do business throughout India. State Government however may require some local registrations.
Initial funding can be done though injecting share capital i.e. FDI. A loan from parent company (External Commercial Borrowing- ECB) is permissible only for Capex. ECB for working capital is permitted subject to certain conditions and a lock in period of seven years for capital repatriation. Local financing is always available subject to required collaterals.
No, taxability in India arises based on residential status in India and incomes accrue or arise in India. A Director is however is liable for any negligence or any wrong doing on behalf of the PLC, as he/she is termed as a Key Managerial Person (KMP).
India has a federal system of levying tax on businesses. Income Tax, Service Tax, Customs Duty etc. are levied & collected by Central Government, however Value Added Tax, Local Body Tax, Municipal Taxes, etc are state subjects.