What is specific to Russian companies
Russian investors are not subject to Press Note 3, but sanctions screening, bank due diligence and payment routing dominate the practical work.
What is specific to Russian investors
- Press Note 3 is not triggered, provided no ultimate owner sits in one of India's land-neighbour countries.
- India–Russia tax treaty: dividends 10%, interest 10%, royalties 10%.
- India has no social security agreement in force with this country, so a foreign national posted to India generally contributes to Indian provident fund as an international worker on full salary.
- Russia 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.
- There is no India–Russia free trade agreement in force.
- The parent usually closes its year on 31 December; Indian companies close on 31 March.
Our services
How SU and Company helps
For Russian 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 Russian 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 Russian company to set up in India?
Allow 2–4 weeks for Russian 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 Russian rules change often; confirm the current position before acting. Russian law points should be confirmed with a Russian adviser.