tumblr visit counter

Investing in India

We specialize in ensuring the compliance of your Self-Managed Superannuation Fund (SMSF) investments in India. We are one of the few SMSF firms that can provide specialist advice and administration services for Indian investments in an SMSF.

Here’s what we offer:

  • Expert advice on structure setup to make sure your investments to align with the SIS Act and meet compliance and audit requirements.
  • Assistance with opening bank accounts and Indian investment accounts, such as mutual funds.
  • Ongoing monitoring of compliance to ensure adherence to superannuation laws.
  • Year-end financial reporting, tax return preparation, and external audit facilitation.
  • Preparation of necessary trust documents to establish SMSF ownership of Indian investments, meeting audit requirements seamlessly.

We handle both the structural aspects and document preparation to ensure the compliance needs for an SMSF with Indian investments are fully met.

SMSFs cannot directly invest in India due to regulations set by the Indian government. To explore investment opportunities in India through a Self-Managed Superannuation Fund (SMSF), trustees need to be recognized as Overseas Citizens of India.

For those interested in Indian investments, trustees must obtain Indian Tax Identifier numbers, known as PAN (similar to the Australian TFN), and establish Non-Resident External Bank accounts.

For example, if thinking about investing in Indian Mutual Funds, trustees should:

  1. Check that the mutual funds are regulated by SEBI (Securities and Exchange Board of India) – SEBI Website.
  2. Use online platforms like Kuvera – Kuvera Website – for buying and selling units.
  3. Consider specific mutual funds like Example Fund, holding shares in both Indian and USA stock exchanges.

When purchasing and holding mutual fund units or shares in India, trustees should follow our guidelines to maintain compliance requirements for the Indian investments. We will provide step-by-step instructions after the SMSF is established.

It’s important to know that any profits made will be taxed in India. However, both after-tax profits and invested capital can be freely transferred back to Australia. Trustees should confidently fulfill all investing and tax responsibilities in India related to their SMSF investments. Any taxes paid in India can be used as foreign tax credits to reduce the tax payable on that income in Australia.

In India, separate bank and portfolio accounts will be maintained in the trustees’ names for easy tracking and accounting of SMSF investments. We will help you create the legal documents to include all the Indian investments in the declaration to comply with the audit and compliance requirements.

The typical fees for India SMSF investments are as follows:

  • SMSF Setup Costs: $880 (corporate trustee) or $275 (2 or more individual trustees)
  • Legal documents to include all the Indian investments: $660 (one-off)
  • Ongoing costs, including tax return, report, and audit: $1,056/year
  • Consulting costs if required $165/session

Remember, the advice on this page is general. It’s highly recommended to seek professional advice from us before making any decisions based on the information provided here.

Enquiry Now

Enquiry Now