We identify your standard recurring expenses and forecast and budget for it in your expense projection.
The global flow of capital, investment and trade in fast changing world today requires businesses to respond quickly to meet international competition and to exploit emerging opportunities. When the multinationals look at business opportunities beyond the boundaries of their countries, they are faced with crucial question of structuring. It has to be structured properly to claim tax reliefs, minimise tax and avoid double taxation.
A substantial chunk of foreign direct investment has gone into IT and ITES industries. Most of the companies set up for IT services and BPOs enjoy a tax holiday under section 10A/10B. In order to claim these benefits, there are certain conditions attached to it and hence need to be planned accordingly.
Apart from structuring and tax incentives, the companies also need to be legally compliant. Current exchange control regulations require an Indian company, which is not eligible to avail of the automatic route for accepting investments from foreign entities, to obtain approval of the Reserve Bank of India (“RBI”) every time it receives investments from overseas companies. However most of industry sectors are covered under automatic route and do not need approval from RBI. Certain set of compliances have to be done while accepting investments from overseas companies.
Global companies are facing increasing government scrutiny and complex reporting requirements. Hence awareness of local laws, regulations, taxes and practices is of paramount importance. We help companies in guiding them a structure which is tax optimum and legally compliant. Our services with regard inbound investments include following:
2. Advise on entity structure for optimal entry – whether branch office, liaison office, subsidiary, LLP, project office, etc.
3. Advice on capital structure keeping in mind the taxation as well as foreign exchange policies to ensure optimum repatriation.
4. Assistance in obtaining regulatory approvals from FIPB, RBI, etc. and also assisting in related compliances.
5. Advise on tax implications, tax incentives, registration and licensing requirements, industry specific restrictions, etc.
6. Advising to optimise repatriation.