Frequently Asked Questions
Comprehensive solutions for NRIs covering taxation, repatriation, business setup, and financial compliance, designed to make India-related financial management effortless and stress-free.
Yes, Non-Resident of Indians (NRIs) can start a business in India. Not just NRIs, the government of India has also permitted foreign nationals to invest or start a business in India. This is done to attract foreign direct investment (FDI) into the Indian economy. FDIs are necessary for the economic growth of India. In compliance with the Foreign Exchange Management Act, 1999, and FEMA regulations, NRIs can establish their businesses in India.
Yes, Overseas Citizen of India (OCI) can start a business in India as they have the same rights as NRIs have regarding business ownership and operations. However, there are certain exceptions related to certain types of property or agricultural land. In a nutshell, OCIs can participate in partnerships or own a business and register a company in India.
The best bussiness structure entirely depends on what are the goals of the business and what type of domain the Non-Resident of India (NRI) want to deal in. However if you are still not sure about it you can quickly connect with the experts and the legal team of Savetaxs and they will help you with the best structure suitable for your business after understanding the needs, and goals of the business.
Yes, two or more NRIs can jointly register a company in India; however, there are certain companies whose ownership legally requires having a resident of India as well. According to the company type, one must comply with the guidelines set by the Foreign Direct Investment (FDI) policy, as well as those established by the Reserve Bank of India (RBI).
Once the company is registered, there are specific compliance requirements that must be adhered to to operate a legal business in India.
Firstly, you need to have a Permanent Account Number, which is essential for filing returns and conducting financial transactions on behalf of other businesses.
You then need to have GST registered for the company.
If your business plan includes employees and requires salary payments, you must also register for TDS.
Opening of a business bank account, which will be dedicated to managing your company's finances and transactions.
Lastly, you need to adhere to the policies set by FDI, FEMA, and RBI to run a successful business in India.