The errors that attract RBI scrutiny and how to avoid them.
FEMA / FDI
FEMA & FDI Compliance — Reporting, Filings & Advisory
End-to-end FEMA & FDI compliance for Indian companies, NRIs and foreign investors — FC-GPR, FC-TRS, FLA returns, FIRMS portal filings, and compounding support for past defaults.
Regi Tom Antony's view
The FEMA filings that cause trouble are the ones nobody owned: an FC-GPR after a share issue, or the annual FLA return due every 15 July. Put every RBI filing on the same calendar as your ROC and tax deadlines.
What we deliver
1
FDI structuring under Automatic / Government Route
2
FC-GPR filing within 30 days of share allotment
3
FC-TRS reporting for secondary transfers
4
Annual FLA return filing (15 July)
5
FIRMS portal entity master and registration
6
Compounding applications for past FEMA defaults
How we engage
Scope-based fee, confirmed in writing
Fees depend on the nature and complexity of the work, number of entities and countries, transaction volume, reporting frequency, deadlines, and whether the engagement is ongoing or one-off. After an initial discussion we send a written engagement letter setting out the scope, deliverables, timelines and fee.
Request a QuoteWhat FEMA and FDI compliance covers
Every Indian company with a foreign shareholder, or one that receives foreign investment, has reporting obligations under the Foreign Exchange Management Act, 1999 and the Foreign Exchange Management (Non-debt Instruments) Rules, 2019. Filings are made on the RBI's FIRMS portal through the company's authorised dealer (AD) bank. Missed or late filings attract late submission fees and, for larger lapses, compounding.
The core filings
- FC-GPR: reports an issue of shares or convertible instruments to a non-resident, filed within 30 days of allotment.
- FC-TRS: reports a transfer of shares between a resident and a non-resident, generally within 60 days of receipt or remittance of consideration.
- Annual FLA return: the Foreign Liabilities and Assets return, due by 15 July each year for companies with foreign investment.
- Downstream investment: an Indian company with foreign investment that invests in another Indian entity must report the downstream investment within the prescribed time.
- Pricing: issue and transfer prices must comply with the pricing guidelines, usually supported by a valuation certificate.
Figures and timelines above reflect our understanding at the time of writing; confirm against the latest Act, Rules and notifications before relying on them.
How we run it
We start with a health check of past inflows and filings: share allotments, transfers, the sectoral cap and route, and whether each remittance was received through banking channels with the right KYC. Gaps are regularised through late filings or, where needed, a compounding application. We then put the company on a calendar so future rounds, transfers and the FLA return are filed on time.
Foreign-owned companies often need transfer pricing support for related-party transactions. Indian companies investing abroad have a separate regime; see ODI advisory.
Practical questions
What if the FC-GPR was never filed?
It can usually be filed late with a late submission fee calculated by the RBI. Where the delay is long or other conditions were breached, compounding may be required. Do not raise a new round until past filings are regularised.
Does a share transfer between two non-residents need FC-TRS?
Generally no, because FC-TRS covers resident-to-non-resident transfers, but the company's records and the FLA return must still reflect the change.
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Frequently Asked Questions
Related services
Guides & Resources
FEMA obligations when repatriating or investing funds.
Overseas investment rules that complement FDI compliance.