What is specific to UK companies
UK groups find India familiar in form: common-law contracts, English as the working language and a shared 31 March year end for many companies. The differences sit in FEMA, Indian tax administration and labour law, which do not follow UK practice.
What is specific to UK investors
- Press Note 3 is not triggered, provided no ultimate owner sits in one of India's land-neighbour countries.
- India–UK tax treaty: dividends 10% (15% for certain property vehicles), interest 15% (10% for banks), royalties 15% (10% for equipment).
- The India–UK Double Contributions Convention, in force since 15 July 2026, lets a temporary assignee with a certificate of coverage stay in UK National Insurance instead of Indian provident fund.
- The UK appears on India's list of reciprocating territories (s.44A, civil procedure code): a money decree from one of its superior courts can be put into execution in an Indian district court, unless a statutory ground for refusal applies.
- The India–UK Comprehensive Economic and Trade Agreement has been in force since 15 July 2026.
- The parent usually closes its year on 31 March; Indian companies close on 31 March.
Our services
How SU and Company helps
For UK 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 UK 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 UK company to set up in India?
Allow 1–2 weeks for UK 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 UK rules change often; confirm the current position before acting. UK law points should be confirmed with a UK adviser.