GST and Tax Compliance

Frequently Asked Questions (FAQs)

1. Is GST registration mandatory for a foreign subsidiary in India?

Yes, if the subsidiary engages in the supply of goods or services and crosses the threshold limit, or if it makes inter-state taxable supplies, GST registration is mandatory.

2. What is the corporate tax rate for foreign companies in India?

The corporate tax rate for a foreign company operating as a branch is typically 40% (plus surcharge and cess). For a wholly-owned Indian subsidiary, it is treated as a domestic company and is subject to domestic rates, which can be as low as 15-22% under new tax regimes.

3. How frequently are GST returns filed?

GST returns are generally filed monthly (GSTR-1 and GSTR-3B), though an annual return (GSTR-9) is also required.

4. What is TDS and does it apply to foreign companies?

TDS (Tax Deducted at Source) requires a person making specified payments to deduct tax before making the payment. It applies to foreign companies receiving payments from India, subject to Double Taxation Avoidance Agreements (DTAA).

5. Can you handle transfer pricing audits?

Yes, our team of experts assists with transfer pricing documentation, studies, and representation during audits.

Propel Your E-commerce & Retail Business with Expert Legal & CA Services

Partnering with us means more than just compliance – it’s about gaining a strategic partner for your e-commerce and retail business. Our services help you:

• Navigate complex e-commerce and FDI regulations
• Streamline online business setup and compliance processes
• Structure robust vendor, influencer, and customer agreements
• Focus on growth while we handle your legal and compliance needs

Contact us today to learn more about how our specialized services for the e-commerce and retail industry in India can add value to your business.