Foreign Subsidiary .
Foreign subsidiary companies are mandatorily required to maintain compliance as per Income Tax Act, Companies Act, transfer pricing guidelines and FEMA guidelines. Hence, maintaining compliance for a foreign subsidiary company would includes filing of income tax return with the Income Tax Department, annual return with the Ministry of Corporate Affairs and other filings with authorities like Reserve Bank of India or Securities & Exchange Board of India (SEBI). Finally, like all companies, foreign subsidiaries would also have to comply with other Indian tax regulations like TDS regulations, GST regulations, VAT / CST regulations, Service Tax regulations, ESI regulations and others. The compliance requirement for a foreign subsidiary company would vary based on the industry, state of incorporation, number of employees and sales turnover.
FinPark is the largest business services platform in India, offering a variety of services like foreign subsidiary company compliance, foreign subsidiary incorporation, trademark registration, GST registration, income tax filing and more. FinPark can help you maintain compliance of your foreign subsidiary company. Get a free consultation for foreign subsidiary compliance maintenance through FinPark by scheduling an appointment with an FinPark Advisor.
Major Compliances for a Foreign Subsidiary Company
Under the GST regime proposed to be rolled out in 2017, one person companies having GST registration would be required to file monthly, quarterly and annual GST returns.
ESI return must be filed by all one person companies having ESI registration. ESI registration is required once the one person company employs over 10 employees.
Quarterly TDS returns must be filed by one person companies that have TAN and are required to deduct tax at source as per TDS rules.
In case a one person company has service tax or VAT registration, it must file the respective returns. Service tax returns are due half-yearly while VAT return due date changes from state to state.
Annual Return Preparation
An IndiaFilings Compliance Expert will prepare the Annual Return for your Company based on the financials and performance during the previous financial year.
Annual Return Verification
Once the Annual Return is prepared in the requisite format, the Client's Finance Team can verify the prepared annual return and affix the digital signature.
Once the Annual Return is prepared and verified, the Annual Return can be filed with the Ministry of Corporate Affairs along with the necessary attachments.