DPDP Act duties apply to every business from 13 May 2027. Check whether your business is ready →
India Entry

India Entry — Wholly Owned Subsidiary (WOS) Setup

Set up a Wholly Owned Subsidiary in India with an expert-led team — from name reservation and incorporation through FC-GPR filing, GST/PAN/TAN and first-year compliance. See our sister site's wholly owned subsidiary setup guide for a deeper walk-through of FDI routes and timelines. For a step-by-step guide to setting up a wholly owned subsidiary in India, including FEMA filings in order, see our dedicated India entry site.

What we deliver

1

Name reservation, MOA/AOA drafting and incorporation (SPICe+)

2

DIN, DSC and authorised representative setup for foreign directors

3

PAN, TAN, GST and Professional Tax registrations

4

Bank account opening with FDI-compliant inward remittance flow

5

FC-GPR filing within 30 days of share allotment

6

Annual FLA return, ROC compliance and statutory audit setup

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 Quote

Why most foreign companies choose a WOS

A wholly owned subsidiary is an Indian private limited company owned by the foreign parent, usually with a nominee shareholder to meet the two-shareholder minimum. It is a separate Indian taxpayer, can carry on any activity permitted under the FDI policy, can invoice Indian customers, hire employees and raise further capital. In most sectors 100% foreign ownership is allowed under the automatic route, without prior government approval.

Setup steps

  • Sector check: confirm the activity, the FDI cap and whether the automatic or government route applies.
  • Documents: board resolution of the parent, constitutional documents and director identity proofs, notarised and apostilled or consularised.
  • Directors: at least one director must have stayed in India for the period specified in the Companies Act; most groups appoint a local or relocated resident director.
  • Incorporation through SPICe+ with name reservation, MOA and AOA, followed by PAN, TAN and GST.
  • Capital: remit share capital through banking channels, allot shares and file FC-GPR within 30 days of allotment.

Figures and timelines above reflect our understanding at the time of writing; confirm against the latest Act, Rules and notifications before relying on them.

Year-one compliance

The subsidiary must appoint its first auditor, hold board meetings and an AGM, file annual ROC returns and the income tax return, and file the annual FLA return with the RBI. Transactions with the parent, such as service fees, royalties and cost recharges, are international transactions that need arm's-length pricing and a transfer-pricing report where thresholds apply.

If the India presence is only for liaison or a specific project, compare a branch or liaison office. For ongoing filings, see FEMA and FDI compliance.

Practical questions

Can the parent's directors sign remotely?

Yes, using digital signatures obtained on the strength of apostilled identity and address documents. The physical presence of foreign directors is not needed for incorporation.

How is profit repatriated?

Through dividends declared out of profits after tax, or through payments for services and royalties at arm's length, each with its own withholding tax.

Monthly on LinkedIn

The CFO Desk

One finance problem a month for SME owners, and for Gulf and overseas owners running teams in India, with what fixes it.

Subscribe on LinkedInKnow an owner who would find this useful? Send them smeadvisory.in/cfodesk.

Frequently Asked Questions

Related services

Guides & Resources

Ready to get started?

Book a 30-minute consultation with Regi Tom Antony.

Book a Consultation