FEMA Consultant in Chennai

Chennai, Tamil Nadu+91 9176044244 / +91 9962260333

We handle foreign direct investment reporting, overseas investment, annual FLA returns and compounding of FEMA delays for companies and individuals in Chennai. Reporting is online on RBI's FIRMS portal through your authorised bank. This page covers the law that applies and links to every Chennai area we serve.

Chennai is where we file most of our FC-GPR and FLA returns, for subsidiaries of foreign companies and start-ups with foreign investors.

Our FEMA and foreign investment work in Chennai

FC-GPR: reporting of shares issued to foreign investors within 30 days of allotment
FC-TRS: reporting of share transfers between residents and non-residents within 60 days
FLA return: the annual return to RBI by 15 July
Subsidiaries: set-up and compliance for Indian subsidiaries of foreign companies
Remittances: CA certificates and LRS questions for outward payments

What must be reported when a foreign investor puts money in?

A company that issues shares to a non-resident reports it in Form FC-GPR within 30 days of allotment, and a transfer of shares between a resident and a non-resident is reported in Form FC-TRS within 60 days of the transfer or the receipt of consideration, whichever is earlier. Indian companies and LLPs with foreign investment file the Foreign Liabilities and Assets (FLA) return by 15 July every year. These rules come from the Foreign Exchange Management Act, 1999 and the FEM (Non-debt Instruments) Rules, 2019.

How is the price for a foreign investment fixed?

Shares issued to a non-resident must be priced at not less than their fair value, and shares transferred from a non-resident to a resident at not more than fair value, under an internationally accepted pricing method certified by a chartered accountant, a SEBI-registered merchant banker or a practising cost accountant.

What about investing abroad or late filings?

Indian companies investing abroad follow the Foreign Exchange Management (Overseas Investment) Rules, 2022 and file an annual performance report for each overseas entity. Individuals can remit up to USD 250,000 a financial year under the Liberalised Remittance Scheme. Delays in FEMA reporting can be regularised by paying a late submission fee or through compounding with RBI, which we prepare.

What Businesses in Different Parts of Chennai Need

Residential neighbourhoods

Families here often ask about sending money abroad for education or investment under the Liberalised Remittance Scheme, and about the tax collected at source on such remittances.

Village areas

Agro-processing units here that export or bring in foreign buyers as investors need export realisation tracking and FDI reporting.

Colleges and universities

Education companies here with foreign collaborators need FEMA pricing and reporting when the collaborator takes equity.

Factories and industrial estates

Manufacturers here with foreign partners or technology licensors need FDI reporting for share issues and correct handling of royalty and technical-fee remittances.

Markets and bazaars

Trading businesses here that bring in foreign partners need to check sector conditions for foreign investment in trading before shares are issued.

Hospitals and clinics

Hospitals here with foreign investors or doctors who are non-residents need FEMA-compliant pricing and reporting on each share issue or transfer.

Courts, collectorates and offices

Trusts and not-for-profits here that receive foreign contributions fall under the Foreign Contribution (Regulation) Act, which is separate from FEMA; we advise on FEMA for their commercial arms.

Airport and port areas

Importers and exporters here need export proceeds realised within the permitted time and import payments made through authorised banks; we deal with the bank's queries and the export data on EDPMS.

Technology parks

Technology firms here commonly have foreign investors, ESOPs for overseas staff and foreign subsidiaries, which together need FC-GPR, FC-TRS, FLA and overseas investment filings.