APAC · Jurisdiction profile
🇮🇳 Doing business in India
Foreign founders most often use a Private Limited Company. India follows common law, with corporate tax of 22% (15% new manufacturing) and personal income tax of Up to 30%.
Entity at a glance
| Typical vehicle | Private Limited Company |
|---|---|
| Foreign ownership | 100% under automatic route (most sectors) |
| Minimum capital | No statutory minimum |
| Time to incorporate | 15–30 days |
| Corporate tax | 22% (15% new manufacturing) |
| VAT / GST | 18% GST |
| Dividend withholding | 20% (treaty relief) |
| Resident director | Required |
| Physical office | Required |
| Annual running cost | USD 2,500–8,000 |
| Audit | Mandatory |
| Legal system | Common law |
| Currency controls | FEMA restrictions apply |
Regulatory profile
- Data transfers: DPDP Act — negative-list countries blocked (residency approach: strict).
- Employment termination: protective regime.
- Beneficial ownership register: regulator-only.
- Economic substance test: no general regime.
- Information exchange: CRS + FATCA IGA Model 1.
Compare India with
India vs Qatar (QFC)India vs Qatar (Mainland)India vs UAE (DIFC)India vs UAE (ADGM)India vs Saudi ArabiaIndia vs BahrainIndia vs United KingdomIndia vs SingaporeIndia vs United States (Delaware)
Figures are indicative and change often. Verify with qualified local counsel. Xc.legal is not a law firm.