LatestAccounting And Audit 12 November 2026
India Foreign Company Tax: Subsidiary vs Branch Rates
India’s corporate tax framework for foreign entities distinguishes between subsidiary and branch structures for FY 2026‑27. Subsidiaries face a standard 25% rate with audit requirements based on turnover, while branches are taxed at the same rate but must comply with specific filing norms, and the tax audit threshold applies differently depending on the entity type and revenue limits.
Tax Rate Overview
- Subsidiary: 25% corporate tax, regular regime, audit triggered if turnover exceeds the prescribed limit.
- Branch: Same 25% rate, but filing and audit rules differ; audit threshold tied to branch’s revenue.
For detailed limits and filing procedures see the full article here.
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