Rajput Jain & Associates
Chartered Accountants
An ISO 9001:2008 Certified Firm

Home
About RJA
Start Up
Services
- Start My Business
  
  Company Registration
  
  Proprietorship
  
  Partnership
  
  One Person Company
  
  Limited Liability Partnership (LLP)
  
  Private Limited Company
  
  Public Limited Company
  
  View All
  
  Maintain My Business
  
  Business License / Registration
  
  ESI Registration
  
  EPF Registration
  
  FCRA Registration
  
  MSME Registration
  
  Food Business License
  
  View All
  
  My Regulatory Filing
  
  Business Return Filings
  
  EPF Return
  
  TDS Return
  
  FCRA Return
  VAT-TIN Return
  
  Service Tax Return
  
  View All
  
  GST Services
  
  GST Registration
  
  GST Consultancy
  
  GST Refund
  
  GST Return Filling
  
  GST Compliances
  
  GST Audit
  
  View All
Main
Services
- Business Setup in India
  
  Business Setup in India
  
  Entry Strategy
  
  Growth Strategy
  
  Diversification Strategy
  
  View All
  
  Audit & Assurance
  
  Internal Audit
  
  Management Audit
  
  Sox Audit & Clause 49
  Due Diligence Audit
  
  View All
  
  Corporate Law Compliance
  
  XBRL Data Conversion Service
  
  LLP Consultancy
  
  Restructuring Services
  
  Company Secretarial Services
  
  View All
  
  Tax & Regulatory Compliance
  
  Value Added Tax (VAT)
  
  Service Tax
  
  Central Excise
  Custom Law Services
  
  View All
  
  Business Setup Outside India
  
  Business Setup Outside India
  
  View All
  
  Business Outsourcing Service
  
  Outsourcing Services
  
  Operational Excellence
  
  Performance Optimization
  
  Project Financing
  
  View All
  
  Tax & Regulatory
  
  Income Tax Services
  
  Certification Work
  
  TDS
  
  View All
  
  Others
  
  Virtual Office Facility
  
  CFO Services
  
  IBC Services
Learning
Center
- Business Entities
  
  Business Setup in India
  
  Business Licence Registration
  
  Company Law
  
  Outsourcing Services
  
  Taxation
  
  GST
  
  TDS
  
  Income Tax
  
  Finance
  
  RBI
  
  IBC
  
  SEBI
  
  CFO
  
  Others
  
  Financial Services
  
  Audit
  
  NGO
  
  Others
Media
Center
- Publications
  
  Press Release
  
  Newsletters
  
  Archievs
  
  Photo Gallery
  
  Videos
Career
- Being a Consultant
  
  Life at RJA
  
  Professional Development
  
  Work With Us
  
  Your Background
Contact Us

Setting up a Liaison Office in India

Foreign companies planning to set up their business operations in India need to start a liason office. The main purpose of starting a liason office is to explore possible business opportunities in India by gathering relevant business information.

"Money Back Guarantee"
"Hassle Free Services"

Call Email Contact

Setting up a Liaison Office in India

Foreign companies planning to set up their business operations in India need to start a liason office. The main purpose of starting a liason office is to explore possible business opportunities in India by gathering relevant business information.This helps the companies to develop a business strategy to tap the existing business potential in India. A liason office also acts as a marketing channel to provide business information about the parent company and their products to the prospective clientele in India.

Fast, Easy & Hassle Free Setting up A Liaison Offices in India Registration.

We can make this simple & Hassle Free

Step by step assistance.

For foreign companies to start their Liaison in India.

Our services are quick & affordable.

Documents Required for Liaison office Setup in India

Currently as per the RBI Requirement the application for the Liaison office and Liaison office is submitted through the Authorized dealer. The authorized dealer means the various institution having banking licenses. The applicant of the Branch/Liaison office has to opt for the any of the Authorized Dealer; it is always preferable for the company to opt for the same authorized dealer as it is dealing in the home country.

Form FNC – 1 – Three copies*
Letter from the principal officer of the Parent company to RBI*
Letter of authority from the parent company in favor of Local Representative
Letter of authority/ Resolution from parent company for setting up Liaison office in India.
Comfort letter from the parent company intending to support the operation in India.
Two copies of the English version of the Certificate of Incorporation, Memorandum & Articles of association (Charter Document) of the parent company duly attested by the Indian embassy or notary public in the country of registration.
Certification of Incorporation - Translated & Duly Notarised and Certified by Indian Consulate
The Latest audited Balance sheet and annual accounts of parent company duly Translated notarized for past Three years. & Certified by Indian Consulate & Directors
Latest Proof of identity of all the Directors - Certified by Consulate and Banker in Home Country
Latest Proof of address all of Directors - Certified by Consulate and Banker in Home Country
Operating history of the company worldwide, Proposed interests and activities in India.

Name, Address, email ID and telephone number of the authorized person in Home Country.
Details of Bankers of the Organization the Country of Origin along with the bank account number
Commitment from the Organization to the effect that it will be open to report / opinion sought from its banker by the Government of India / Reserve Bank of India
Expected funding level for operations in India.
Details Relating to address of the proposed local office, number of persons likely to be employed, number of Foreigners among such employees and address of the head of the Local office, if decided
Details of Activity carried out in Home Country by the applicant organisation in brief about the product and services of company in Brief.
Bankers Certificate
Details of the Individuals / Company holding more 10% of Equity
Organization Structure - Shareholding pattern.
Complete KYC of Shareholders holding more than 10% Equity in the Applicant Company.
Resolution for Opening up Bank Account with the Banker
Duly Signed Bank Account Opening Form for Indian Bank.
Reasons for wanting to open a Liaison office &, any foreign exchange implications for such matters.

NOTE - The above list is not exhaustive and may differ depending upon the requirement from the Authorised Dealer.

Foreign Company can open Liaison office in India due to several reasons; Companies incorporated outside India and engaged in to test and understand the Indian market, as it does not allow the companies to do business but just to be in the market and understand the Indian market or carry out the Research & Development activities or to understand the problem of existing clients of the company and serve them better activities are allowed to set up Liaison office in India with specific approval of the Reserve Bank. Such Liaison office s are permitted to represent the parent / group companies and undertake the following activities in India subject to few Conditions:

Activities Allowed to Liaison Office

Representing in India the parent company / group companies.
Promoting export / import from / to India.
Promoting technical/financial collaborations between parent/group companies and companies in India.
Acting as a communication channel between the parent company and Indian companies.

Activities Allowed to Liaison Office

A profit making track record during the immediately preceding 3 financial years in the home country i.e. Foreign Country.
Net Worth not less than USD 50,000 or its equivalent [total of paid-up capital and free reserves, less intangible assets as per the latest Audited Balance Sheet or Account Statement certified by a Certified Public Accountant or any Registered Accounts Practitioner by whatever name]

Retail trading activities of any nature is not allowed for a Liaison office in India.
A Liaison office is not allowed to carry out manufacturing or processing activities in India, directly or indirectly without Approval of RBI.
Profits earned by the Liaison offices are freely remittable from India, subject to payment of applicable taxes.

Simple Steps to Opening a Liaison Office in India Registration!

The application for Liaison office Licenses is approved by the RBI, but as per the recent changes the applications for Liaison office are routed through the Authorized Dealers (AD). Due to this the timeline for setting up the Liaison office has increased tremendously. Further the documentation required for the same has also increased to a great extent.

Application entity through a designated ad category – I bank for setup a liaison office in India

The application for establishing Liaison office in India should be forwarded by the foreign entity through a designated AD Category – I bank to the Chief General Manager-in-Charge, Reserve Bank of India, Foreign Exchange Department, Foreign Investment Division, Central Office, Fort, Mumbai-400 001, along with the prescribed documents including:

Form FNC
English version of the Certificate of Incorporation / Registration or Memorandum & Articles of Association attested by Indian Embassy / Notary Public in the Country of Registration.
Latest Audited Balance Sheet of the applicant entity.
Other details like the profile of the applicant, nature and location of activities and source of funds etc.
A KYC of the parent Company in a prescribed format
Besides the above, certain Authorized Dealers may ask for certain information or documents or certifications to convince themselves of the credibility of the applicant.

These applications are considered on a case-to-case basis. The RBI generally gives permission in a time span of about 2 to 4 weeks. The application must include required document.

Procedure after getting the RBI licence, application submitted to with registrar of companies, Delhi

Every Liaison office registered with RBI shall get itself registered with the Ministry of Corporate Affairs; the foreign company is also required to obtain a Certificate of establishment of place of business in India from the Registrar of Companies (ROC. On such registration a CIN i.e. Corporate Identity Number is allotted by the Registrar of Companies. Which required following document including:

Form 44
A certified copy of the charter, statutes or memorandum and articles, of the company or other instrument constituting or defining the constitution of the company and, if the instrument is not in the English language, a certified translation thereof in the English language
The full address of the registered or principal office of the company;
The full address of the office of the company in India which is deemed to be its principal place of business in India;
List of directors and secretary of the foreign company.
Reserve bank of India approval letter.

These applications are considered on a case-to-case basis. The RBI generally gives permission in a time span of about 2 to 4 weeks. The application must include required document.

Happy Customers

200+

Projects Completed

550+

Serving Since

2009

Contracts Signed

700+

Frequently Asked Questions (Faq)

What are the features of Liaison office of Foreign Company in India?
Features of Liaison Office
- The name of Indian liaison office shall be same as parent company.
- The governing body for the Liaison office License is Reserve Bank of India.
- It is suitable for foreign Companies looking to setup a temporary office in India to liaison its existing business with Indian clients.
- The Liaison office does not have any ownership, it is just extension of the exiting company in the foreign country.
- All the expenses of the Liaison office are met by the head office, hence the funds shall be received from head office account only.
- The License for the Liaison office is given for three years and shall be renewed every 3 years.
What are the business licenses may require / applicable on a Liaison office of Foreign Company in India.
Business Licenses Applicable To Liaison Office
- Permanent Account Number (PAN)
- Tax Deduction Number – Tan Number
- Shop & Establishment Registration
What are the Compliances for Liaison office of a Foreign Company in India.
Compliances to be Carried Out by Liaison Office of a Foreign Company in India

After Establishment Of By Liaison Office
- A Liaison office shall submit a report containing information in a prescribed form within five working days of the Liaison Office becoming functional to the Director General of Police (DGP) of the state concerned in which Liaison office has established its office; if there are more than one office of such a foreign entity, in such cases to each of the DGP concerned of the state where it has established office in India;
- A copy of report thus filed as above shall also be filed with AD by the Liaison office concerned.
Annual Compliances
- Maintenance of Books of Account for the activity carryout in India.
- Getting Annual Accounts audited for the activity carryout in India.
- File Annual Activity Certificates from the Auditors to be submitted to the Reserve Bank of India,
- Audited Financial Statements including Receipts and Payments A/C shall be filed with the Directorate of Income Tax.
- Filling of Annual Return Compliances and Balance sheet with the Registrar of Companies.
- Intimating any change in constitution of Foreign Company to Reserve Bank of India & ROC
- Intimating any change in Directors of Foreign Company to Reserve Bank of India & ROC
- Intimating each and every change in the Liaison office to Reserve Bank of India & ROC
- No additional place of business can be started unless approval is taken from Reserve Bank of India.
How to close a Liaison office of a Foreign Company inIndia?
Activity for Closure Liaison Office of a Foreign Company in India
- Overseas firms should conduct a formal due diligence process to evaluate the expectations and limitations of the Indian associate, to check the validity of the partners’ business operations, to review the validity of the documents produced by the prospective partners, and to evaluate any risk factors associated with the potential partners.
Generally the Liaison office licenses is given for three years, if at any time the Company plans to close the Liaison office setup in India it shall file the necessary documents with the Authorized Dealer, and the application for the closure shall be forwarded by the Authorised Dealer.
- Copy of the Reserve Bank's permission/ approval from the sectorial regulator(s) for establishing the Liaison office.
- Auditor’s certificate- i) indicating the manner in which the remittable amount has been arrived at and supported by a statement of assets and liabilities of the applicant, and indicating the manner of disposal of assets; ii) confirming that all liabilities in India including arrears of gratuity and other benefits to employees, etc., of the Office have been either fully met or adequately provided for; and iii) confirming that no income accruing from sources outside India (including proceeds of exports) has remained un- repatriated to India.
- No-objection / Tax Clearance Certificate from Income-Tax authority for the remittance/s.
- Confirmation from the applicant/parent company that no legal proceedings in any Court in India are pending and there is no legal impediment to the remittance.
- A report from the Registrar of Companies regarding compliance with the provisions of the Companies Act, 1956, in case of winding up of the Office in India.
- Any other document/s, specified by the Reserve Bank while granting approval.

Learning Center

FATCA Reporting by reporting entities in India

FATCA letters to customers located in India, FATCA Reporting, FATCA, FATCA compliance, FATCA Reporting by reporting entities in India, Foreign Account Tax Compliance Act (FATCA) ...

Clarification on FATCA Reportable Accounts

Foreign Tax & Tax Research Division issue Clarification on FATCA Reportable Accounts, FATCA Reportable Accounts, FATCA Reportable person, Foreign Tax & Tax Research Division, Indian Reporting Financial ...

18 Nations Banks allowed to get RBI's nod to trade in INR

18 Nations Banks allowed, trade in INR, trade in Rs allowed, 18 Nations Banks allowed to get RBIs nod to trade in INR, RBI has allowed banks ...

Rajput Jain & Associates

India's Largest Business Services Platform

Rajput Jain and Associates is the largest online service platform in India which provides easy solutions in starting their new business at affordable cost. We aim at helping the entrepreneurs at every legal and regulatory step. We stay as your partner during entire business cycle and ensure that the business keeps prospering and remains complaint.

Rajput Jain and Associates is a network of experienced chartered accountants, lawyers, company secretaries, cost accountants, financial experts, expert bankers all over India to provide the needed services for small and medium size enterprises.

Want to know more about Rajput Jain & Associates?

Download Company Profile

AITC (Association of International Tax Consultants)

We are the exclusive member in India of the Association of International Tax Consultants, an association of independent professional firms represented throughout Europe, US, Canada, South Africa, Australia and Asia.

Enquire Us

Please send us your query and we feel very happy helping you

Reasons to Choose Rajput Jain and Associates

Client Confidentiality

All the information related to any client is considered confidential and never be disclosed to anyone.

Backed by Experience

Having years of experience in respective areas and backed by skilled and experienced workforce keep us ahead.

Customer Support

We believe in the building the good relationship with the clients that ensures the great impression.

Money Back Guarantee

If you are not happy with our services then you can request a refund within 30 days.

24/7 Support

We provide 24*7 supports through phone, email and live chat.

EMI Payment

You can pay online through EMIs, PayPal, net banking, debit card, credit card and more.

Testimonials

Thank you very much for all your help in setting up my new company and clearing up all outstanding business in my sole trader accounts. For the first time in years I have peace of mind regards my business accounts. Your workforce are a credit to you, the girls at reception are so helpful and Chris has been brilliant. It is very much appreciated.

A US consultancy group
Rajput Jain & Associates. are a tremendous value added to me as an executive and a busy parent. It just makes sense to delegate my tax file to them -- they are proactive, extremely service oriented, and most importantly, I am completely confident they are finding every dollar of tax savings available to me.

A Leading Service Provider
We use Rajput Jain & Associates for all our accounting, Corporation tax, VAT and other compliance needs. The service is professional, courteous and prompt. I would recommend Rajput Jain & Associates to any company requiring a comprehensive accounting and tax service.

A Leading Consultancy Firm in Dubai