Key FEMA and RBI Compliances for Foreign-Owned Indian Companies
FC-GPR Filing (Foreign Currency-Gross Provisional Return)
Mandatory when shares are allotted to a non-resident after receiving FDI.
- Timeline: Within 30 days of share allotment
- Filed via: RBI FIRMS Portal
- Requires CA-certified valuation report, KYC from remitter’s bank, board resolution, and other supporting documents.
Annual FLA Return (Foreign Liabilities and Assets Return)
All Indian entities receiving foreign investment or having overseas assets must file this return annually.
- Timeline: By 15th July each year
- Filed via: RBI FLAIR Portal
- Jain Prachi & Company assists in reconciling FDI records with financial statements and RBI-mandated disclosures.
Advance Remittance & Reporting to AD Bank
When capital is remitted from abroad, it must be reported to the Authorised Dealer (AD) Bank within 30 days.
- Filing of Advance Reporting Form is required
- KYC and FIRC must be obtained from the bank
FC-TRS (Transfer of Shares between Residents and Non-Residents)
If shares are transferred between a resident and a non-resident, the transaction must be reported through FC-TRS.
Board Resolutions & Valuation Compliance
Allotment of shares to foreign shareholders must be backed by:
- Share valuation from a certified professional (CA/Merchant Banker)
- Proper board and shareholder resolutions
- Adherence to pricing guidelines under FEMA
Common FEMA Mistakes to Avoid
- Missing FC-GPR filing deadlines
- Non-filing or incorrect filing of FLA returns
- Issuing shares at incorrect valuation
- Delayed reporting to the AD Bank
- Failure to obtain KYC & FIRC from foreign remitter’s bank
Avoiding these mistakes requires experienced handling of RBI and FEMA procedures. Jain Prachi & Company ensures you stay fully compliant and audit-ready.
Our FEMA & RBI Compliance Services
We offer full-spectrum support to non-resident promoters, foreign companies, and Indian entities with overseas shareholding:
- End-to-end FC-GPR & FC-TRS preparation and filing
- FLA return filing and reconciliations
- Capital structure planning under FDI norms
- Liaison with RBI-authorised banks (AD Banks)
- Valuation certificates and FEMA pricing compliance
- Regular FEMA audit & documentation maintenance
We don’t just file forms — we provide strategic guidance that keeps your business protected and scalable under Indian law.
Why Choose Jain Prachi & Company?
- Deep expertise in RBI and FEMA compliance
- Proactive reminders for time-sensitive filings
- Seamless coordination with banks and regulators
- Trusted by international clients from over 15+ countries
- Zero non-compliance record for our clients
We ensure your Indian operations meet all RBI, FEMA, and MCA obligations — giving you complete peace of mind.
Need Assistance with FEMA & RBI Compliance?
Jain Prachi & Company is your trusted compliance partner in India. From the first remittance to annual FLA returns, we provide dependable advisory and filing services tailored to foreign investors.
📧 Email: contactus@jainprachi.com
🌐 Website: https://jainprachi.com
📅 Schedule your free 15-minute consultation today to ensure complete RBI & FEMA compliance.
FAQs: FEMA & RBI Compliance for Foreign-Owned Indian Companies
Q: Who needs to file an FC-GPR in India?
Any company that allots shares to a non-resident investor must file an FC-GPR within 30 days of allotment.
Q: What is the penalty for non-filing of FLA returns?
Non-filing may attract compounding proceedings by RBI and may affect future investments.
Q: Is a valuation report always necessary for FDI?
Yes. Shares issued to foreign investors must be backed by a CA or merchant banker valuation.
