Investing in India

India is one of the fastest-growing economies in the world and many entrepreneurs and global businesses are realising the benefits of investing in India. Investing in India is not simple, however. The several tax regulations and restrictions on setting up a business imposed on those investing in India can be a major deterrent unless the process is managed professionally. Healy Consultants offers tailored services related to investing in India, including tax planning in India and India corporate bank account opening. Some points to consider when investing in India include:

  1. Tax planning in India is more complex and less attractive than in many jurisdictions. When undertaking any tax planning in India, it is important to note that resident companies are taxed on worldwide income and capital gains;
  2. Prior to investing in India, Healy Consultants can arrange a tailored orientation programme in the country. Our orientation programmes typically include familiarisation tours of key points of business interest in the country, cities, special economic zones, as well as government ministries and other useful services such as banks etc. Healy Consultants can also prepare detailed business plans on your behalf to present to potential joint venture partners.;
  3. When tax planning in India, note that India has signed comprehensive Double Tax Treaties with more than 75 countries;
  4. When tax planning in India, it should be noted that all Companies incorporated in India are considered as domestic Indian Companies for tax purposes, even if the Indian Company is owned by a foreign Company;
  5. Setting up the correct corporate structure is key to successfully investing in India. Healy Consultants can advise on and engineer a structure to meet your exact needs;
  6. Opening a corporate bank account is crucial to support the activities of entrepreneurs investing in India. Healy Consultants can assist in opening a corporate bank account either in India or in another jurisdiction, according to your needs. Kindly visit this webpage for further information on international corporate bank accounts;
  7. Healy Consultants’ local officer will attend a bank interview in India on your behalf, describing your global business activities and explaining why you require an India corporate bank account. Healy Consultants can open an India corporate bank account without the bank signatory and beneficial owners’ presence;
  8. Healy Consultants International Banking Team will submit the India corporate bank account application form and Business Plan to the bank on behalf of our Client;
  9. One of the keys to successfully investing in India is developing a reliable network of business contacts and service suppliers. Healy Consultants has established a broad base of reputable Clients with experience of investing in India and doing business there. Subject to mutual agreement, we are able to provide introductions to key businesspeople in India;
  10. Healy Consultants International Banking Team will complete the India corporate bank account application form on behalf of our client, and obtaining our Client’s signature;
  11. When tax planning in India, note that foreign companies pay a withholding tax of 20% if the Company is located in jurisdiction with which India has no double tax treaty;
  12. On behalf of our Client, Healy Consultants will apply for corporate Internet banking facilities to accompany the India corporate bank account;
  13. For entrepreneurs planning to move to India to oversee their investments, Healy Consultants can help provide a comprehensive relocation service, including:
    • Obtaining Indian Employment and residence visas for the investor and his/her family;
    • Indian Employment and residence visas for staff;
    • Introductions to real estate agents in India;
    • Introductions to banks in India or the region for mortgages, personal bank accounts etc;
    • Assistance with locating a suitable school in India for the family.

  14. Following company setup, entrepreneurs investing in India can take advantage of certain incentives focused on the Special Economic Zones. These include 100% income tax exemption for the first five years after incorporation, and then 50% tax exemption for the following five years; no customs duties on imports and no Central Excise Duty on procurement of capital goods, raw materials, consumable spares for the domestic market. For more information on the incentives available in and advantages of investing in India, kindly visit this webpage;
  15. When tax planning in India, note that the domestic corporate tax rate is 30%, rising to 32.5% if taxable income exceeds INR 10 million (US$180,360);
  16. An India corporate bank account offers conventional banking products and services for businessmen, including investment products, financing products and services, trade and credit facilities, remittances, bank guarantee facilities and vendor financing;
  17. On behalf of our Client, Healy Consultants will apply for a credit card, ATM card and cheque book to accompany the India corporate bank account;
  18. When tax planning in India, note that foreign nationals working in India are typically taxed only on income sourced in India;
  19. Healy Consultants’ International Banking Team will prepare a detailed Business Plan relating to our Client’s Company to support theIndia corporate bank account application. The Business Plan provides details of the Company’s activities, products and services offered, details of the Company’s suppliers and some information on its Clients and intended markets;
  20. An India corporate bank account with an international bank has Internet banking facilities;
  21. Entrepreneurs planning on investing in India should be aware that India’s banking sector is far less sophisticated than traditional Asian financial centre’s such as Singapore, Hong Kong or Dubai;
  22. When tax planning in India, note that foreign nationals may open a corporate bank account in India and receive funds from abroad. A foreign national can repatriate 75% of his net after-tax earnings;
  23. Healy Consultants’ Clients do not need to travel to India to open an India corporate bank account. Our officers in India will handle the India corporate bank account opening formalities on your behalf;
  24. After applying for our Client’s India corporate bank account, Healy Consultants receives a corporate cheque book, credit and ATM cards for the Client’s in a sealed letter that is passed directly to our Client.

View the complete guide to India company incorporation.

Contact us

For additional information on India company formation, you can email us at email@healyconsultants.com or phone us at (+65) 6735 0120. Address: New Delhi: 680/8, Faridabad, Delhi NCR, 121006, India; Bangalore: #24, Comfort Towers, 10th Cross, Wilson Garden, Bangalore 560 027.