Chartered Accountant · ICAI M.No. 153926 · FRN 136869W
FC-GPR + valuation + FLA
Valuation-backed pricing, FC-GPR within 30 days, and the annual FLA return to the RBI.
Sector route and caps
Most sectors are 100% automatic; some have caps or need approval. Check your sector.
The reporting calendar and getting pricing right
FDI compliance is mostly about pricing and timely reporting. When a non-resident subscribes to or is allotted shares, the price can’t be below the fair value worked out under the FEMA pricing guidelines, supported by a valuation from a registered valuer or merchant banker for anything beyond face value at incorporation; the funds must arrive through banking channels with a clear foreign-inward-remittance trail. The allotment is then reported to the RBI on the FIRMS portal in Form FC-GPR within 30 days of allotment — late filing attracts a Late Submission Fee. Every year, an Indian company with foreign investment files the FLA (Foreign Liabilities and Assets) return by 15 July. If shares later move between a resident and a non-resident, that transfer is reported in Form FC-TRS, again within 30 days. Downstream investment, and certain other events, have their own forms. Over all of this sits the sector policy: most sectors are 100% automatic, but some have equity caps, minimum capitalisation, or need government approval, and getting that wrong is harder to unwind than a late form. Keeping a simple FDI calendar — FC-GPR on allotment, FLA each July, FC-TRS on transfers — and confirming the sector route up front keeps the company clean with the RBI.