Chartered Accountants◆Practising since 2016

Australia to India

Australia to India: setting up and running a company in India

CA Utsav Dogra, Chartered Accountant, ICAI M. No. 542375 · Updated

In brief

Australian groups most often enter India through a wholly owned private limited company. The Indian process is the same for every investor, but the Australian side changes several answers: documents are legalised by apostille by dfat, the India–Australia tax treaty caps Indian tax on dividends at 15%, and a social security agreement can keep posted staff in the home system.

What is specific to Australian companies

Australian groups often start in India with technology, education or mining services, and need to bridge a 30 June year end with India's 31 March.

What is specific to Australian investors

  • Press Note 3 is not triggered, provided no ultimate owner sits in one of India's land-neighbour countries.
  • India–Australia tax treaty: dividends 15%, interest 15%, royalties 15% (10% for equipment).
  • The India–Australia Social Security Agreement, in force since 1 January 2016, keeps secondees with a certificate of coverage in superannuation for up to five years.
  • Australia is not on India's reciprocating-territory list, so its court decrees cannot be executed in India as they stand; the winning party has to sue again in India on the foreign judgment.
  • The India–Australia ECTA has been in force since 29 December 2022; negotiations on a wider agreement continue.
  • The parent usually closes its year on 30 June; Indian companies close on 31 March.

Our services

How SU and Company helps

For Australian companies we act as the Indian firm of Chartered Accountants from the first board decision onwards.

  • Entity and FDI route advice
  • Incorporation of the subsidiary, or branch, liaison or project office approvals
  • FEMA and RBI reporting for every inflow and outflow
  • Accounting, tax, GST and transfer pricing
  • Payroll and expatriate tax
  • Company secretarial and annual filings

Questions

May a Australian company hold all the shares of its Indian company?

Yes. Full foreign ownership is allowed without prior approval in most sectors, subject to any sector cap.

How long does it take a Australian company to set up in India?

Allow 1–2 weeks for Australian documents, then about two to three weeks for incorporation, with the bank account usually the slowest step. Most groups are operating within two to three months.

General information as at 5 November 2026, not advice for a particular case. Indian and Australian rules change often; confirm the current position before acting. Australian law points should be confirmed with a Australian adviser.

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