Open a Branch Office in India from Greece

How to Register a Branch Office in India from Greece

A Branch Office is a straightforward way for an established Greek company to operate in India without incorporating a separate legal entity. The Branch Office functions as an extension of the Greek parent company, carrying the same legal identity and name. It can engage in specific commercial activities permitted by the Reserve Bank of India (RBI), generate revenue in India, and repatriate profits to Greece.

Greek interest in India is concentrated in shipping and logistics, infrastructure, renewable energy and technology services. For Greek companies that want to test the Indian market, handle export-import operations, or provide professional services without the governance requirements of a subsidiary, a Branch Office is often the ideal entry structure. For a detailed comparison, see Branch Office vs Subsidiary and Branch Office vs Liaison Office.

FDI Route and Regulatory Requirements

The establishment of a Branch Office in India by a Greek company follows the automatic route through the Authorised Dealer (AD) bank, provided the parent company operates in a sector where 100% FDI is permitted. The AD bank is authorised by the RBI to approve Branch Office applications and generate a Unique Identification Number (UIN).

Eligibility Requirements

The Greek parent company must meet the following criteria:

• Profit track record: A demonstrated track record of profitability for the five financial years immediately preceding the application
• Minimum net worth: A net worth of at least US$100,000 as verified by the most recent audited balance sheet
• Sector eligibility: The proposed activity must fall within a sector permitting 100% FDI under the automatic route

Since Greece does not share a land border with India, the restrictions in Press Note 3 (2020), as narrowed by Press Note 2 of 2026, do not apply. Greek companies can proceed without the additional security clearances that apply to investors from China, Pakistan, Bangladesh, and neighbouring countries. For more on the regulatory framework, see Automatic Route vs Government Approval.

Permitted Activities

A Branch Office in India can undertake only the following activities approved by the RBI:

• Export and import of goods
• Rendering professional or consultancy services
• Carrying out research work in areas where the parent company is engaged
• Promoting technical or financial collaborations between Indian companies and the parent company
• Representing the parent company in India and acting as a buying or selling agent
• Rendering services in information technology and software development
• Providing technical support to products supplied by the parent company

Prohibited Activities

A Branch Office cannot engage in manufacturing, processing, or retail trading activities in India, unless it is located within a Special Economic Zone (SEZ). This is a critical distinction from a subsidiary, which can undertake any lawful business. For comparison, see Liaison Office vs Project Office vs Branch Office.

DTAA Position for Greek Companies

The Double Taxation Avoidance Agreement between India and Greece was signed on 11 February 1965 and notified in India by Notification GSR 394 of 17 March 1967. It is one of India's oldest treaties and it is not built on the modern OECD template: it allocates taxing rights and relieves double taxation by credit, but it sets no reduced withholding rates for dividends, interest or royalties. That matters for a Branch Office, because a Branch Office is a Permanent Establishment (PE) of the Greek company in India, so income attributable to it is taxable in India.

• Business profits (Articles 3 and 4): India may tax the industrial or commercial profits of a Greek enterprise only where they are derived through a permanent establishment in India
• Royalties (Article 7): taxable only in the territory of source, at Indian domestic rates. There is no treaty cap, so the domestic rate for a foreign company applies — 20% plus surcharge and cess under section 207(2) (Table, Sl. Nos. 1 and 2) of the Income-tax Act, 2025 (section 115A of the Income-tax Act, 1961)
• Dividends (Article 8): taxable only in the territory of the company paying them. Again no treaty cap; the Indian domestic rate is 20% plus surcharge and cess under section 207(1) (Table, Sl. Nos. 1–3) of the Income-tax Act, 2025
• Interest on bonds (Article 9): taxable only in the territory of source, at Indian domestic rates
• Fees for Technical Services: the agreement has no FTS article at all, so such income is dealt with as business profits where it is attributable to a PE, and otherwise under Indian domestic law
• Capital gains (Article 11): taxable only in the territory in which the asset is situated at the time of transfer

The agreement is also one of those modified by the Multilateral Instrument, so treaty benefits are subject to a principal purpose test.

The Branch Office is taxed as a foreign company in India at 35% corporate tax (plus surcharge and cess, an effective rate of roughly 36.4% to 38.22% depending on the surcharge band). Greek companies can claim foreign tax credits in Greece for taxes paid by the Branch Office in India. To claim DTAA benefits, obtain a Tax Residency Certificate from the Greek tax authority (AADE) and file Form 41 (formerly Form 10F) in India. See our DTAA Master Guide for detailed guidance.

Document Requirements and Authentication

Both India and Greece are signatories to the Hague Convention (Apostille Convention). Greek documents require an apostille from the competent Greek authority — the Court of First Instance for judicial and notarial documents, the Decentralised Administration or Regional Self-Government for administrative documents, and the Ministry of Digital Governance for documents issued electronically through gov.gr — rather than the lengthier embassy attestation process. For details, see Apostille vs Embassy Attestation.

Documents Required from the Greek Parent Company

• Certificate of Registration or Incorporation of the parent company (apostilled)
• Memorandum and Articles of Association or equivalent charter document (apostilled, with certified English translation if in Greek)
• Audited financial statements for the last five years (apostilled)
• Latest audited balance sheet and annual accounts (apostilled)
• Board resolution authorising the establishment of a Branch Office in India
• Power of Attorney in favour of the authorised representative in India (apostilled)
• Letter from the principal officer of the parent company to the RBI
• Details of the parent company's activities and proposed activities in India

Documents Prepared in India

• Application in Form FNC to the AD bank
• Proof of registered office address (rent agreement + NOC from landlord + utility bill)
• Digital Signature Certificate (DSC) for the authorised representative
• Form FC-1 for ROC registration (filed within 30 days of RBI approval)

Step-by-Step Registration Process

Establishing a Branch Office in India involves a two-stage process: RBI approval through the AD bank followed by registration with the Registrar of Companies (ROC).

Step 1: Prepare and Apostille Documents in Greece

Gather all required corporate documents from the Greek parent company. Have them notarised by a Greek notary public and then apostilled by the competent authority. All Greek-language documents must be accompanied by certified English translations. Timeline: 1-3 weeks.

Step 2: Submit Application to AD Bank (Form FNC)

File Form FNC along with all supporting documents with an Authorised Dealer Category-I bank in India. The AD bank reviews the application for completeness and sector eligibility. If the sector permits 100% FDI under the automatic route, the AD bank can approve the application and generate a Unique Identification Number (UIN).

Step 3: Receive RBI Approval and UIN

The AD bank processes the application and issues approval along with the UIN. For applications in sectors not fully under the automatic route, the AD bank forwards the application to the RBI for specific approval. Timeline: 4-8 weeks.

Step 4: Register with the Registrar of Companies (ROC)

Within 30 days of receiving RBI approval, file Form FC-1 with the ROC to register the Branch Office under the Companies Act 2013. Pay the prescribed government fee of INR 6,000. The ROC issues a registration certificate confirming the Branch Office's legal existence in India. See our guide on FC-1 Foreign Company Registration.

Step 5: Obtain PAN and TAN

Apply for a Permanent Account Number (PAN) and Tax Deduction Account Number (TAN) for the Branch Office. These are required for tax filings, TDS compliance, and opening a bank account.

Step 6: Open a Bank Account

Open a current account with the AD bank in India. The Greek parent company can remit initial operating funds to this account. The bank will conduct thorough KYC checks including verification of the entire ownership chain and beneficial ownership disclosures.

Timeline and Costs

The end-to-end timeline for establishing a Branch Office in India from Greece is approximately 10-16 weeks:

Cost Breakdown

• ROC fees (Form FC-1): INR 6,000
• Government fees (PAN/TAN): INR 1,000-2,000
• Stamp duty: INR 5,000-15,000 (varies by state)
• Professional fees (CS/CA): INR 50,000-1,50,000 (includes RBI application preparation)
• Apostille charges in Greece: EUR 10-30 per document
• Translation charges: EUR 15-30 per page for certified English translations
• Total estimated cost: INR 75,000-2,00,000 plus apostille and translation costs

Post-Registration Compliance

Branch Offices in India carry significant ongoing compliance obligations:

• Annual Activity Certificate (AAC): Filed annually with the AD bank and Director General of Income Tax (International Taxation) by 30 September, prepared by a Chartered Accountant, confirming the Branch Office operates within its permitted activities
• Income tax return: Filed annually as a foreign company; Branch Offices are taxed at 35% on income attributable to Indian operations (plus surcharge and cess)
• GST compliance: Monthly or quarterly GST returns if the Branch Office is GST-registered
• Transfer pricing: Mandatory compliance with transfer pricing regulations for all transactions between the Branch Office and its parent company, including Forms 145 and 146 (formerly Forms 15CA and 15CB) for outward remittances
• ROC annual filings: Annual financial statements filed with the ROC
• Audit: Mandatory annual audit by a practising Chartered Accountant in India

Beacon Filing provides comprehensive annual compliance, FEMA/RBI compliance, and corporate tax filing services for Branch Offices.

Common Challenges for Greek Companies

Five-Year Profit Track Record

The RBI requires the Greek parent company to demonstrate profitability for the five consecutive years immediately preceding the application. Startups and early-stage companies that have not yet achieved five years of profitability cannot establish a Branch Office. In such cases, a Liaison Office (which has no profit requirement but cannot earn revenue) or a Private Limited Company may be more appropriate. See Branch Office vs Liaison Office for guidance.

Manufacturing Restriction

Branch Offices cannot engage in manufacturing or processing activities in India (except within SEZs). Greek manufacturing companies looking to set up production in India must establish a subsidiary or joint venture instead. However, a Branch Office can sub-contract manufacturing to Indian companies while handling sales and distribution.

Higher Corporate Tax Rate

Branch Offices are taxed as foreign companies at 35% (effective rate approximately 38.22%), significantly higher than the 25.17% effective rate for domestic companies that opt for the 22% concessional regime under section 200 read with section 205(1) of the Income-tax Act, 2025 (section 115BAA of the Income-tax Act, 1961), or the 17.16% effective rate that was available to new manufacturing companies under section 115BAB of the Income-tax Act, 1961 before that window closed to entrants that had not commenced production by 31 March 2024. This tax disadvantage should be factored into the cost-benefit analysis when choosing between a Branch Office and a subsidiary. Refer to our Corporate Tax: India vs Global comparison.

Greek Language Documentation

All Greek-language corporate documents must be translated into English by a certified translator before apostilling. The certified English translation must accompany the original Greek document through the apostille process. This requirement adds both time and cost, particularly for companies with extensive corporate documentation. Budget an additional 1-2 weeks and EUR 200-500 for translation services.

Profit Remittance Documentation

While Branch Offices can freely repatriate profits to Greece, the remittance requires a Chartered Accountant's certificate confirming tax compliance, an auditor's certification, and regulatory approvals. The process is straightforward but documentation-intensive, typically requiring 2-4 weeks per remittance cycle. Ensure compliance with FEMA regulations and the Repatriation Guide.

No Reduced Treaty Withholding Rates

Unlike India's treaties with most other EU member states, the 1965 India-Greece agreement contains no reduced withholding rates: Indian-source dividends, interest and royalties are taxed at full Indian domestic rates, and relief comes only as a credit in Greece. Greek companies should analyse carefully whether the Branch Office structure, combined with the 35% foreign-company rate and the absence of treaty rate relief, is tax-efficient for their specific operations. A Wholly Owned Subsidiary taxed at domestic rates may offer better overall tax outcomes.

Frequently Asked Questions

Can a Greek company open a Branch Office in India without visiting India?

The application process (Form FNC) can be initiated remotely through the AD bank using apostilled documents and a Power of Attorney in favour of an Indian representative. However, some AD banks may require an in-person meeting or video KYC with the authorised signatory for the bank account opening. The RBI approval process itself is entirely document-based.

What is the minimum net worth required for the Greek parent company?

The Greek parent company must have a minimum net worth of US$100,000 as verified by the most recent audited balance sheet. Additionally, the company must demonstrate a profit track record for the five financial years immediately preceding the application. Both conditions are set by the RBI and are checked by the AD bank before it approves the application.

Can a Branch Office in India engage in manufacturing?

No. Branch Offices are prohibited from manufacturing, processing, and retail trading activities in India, unless located within a Special Economic Zone. Manufacturing companies should consider establishing a Private Limited Company or Wholly Owned Subsidiary instead.

How is a Branch Office taxed in India?

A Branch Office is taxed as a foreign company at a flat rate of 35% on income attributable to its Indian operations, plus applicable surcharge (2% if income exceeds INR 1 crore, 5% if income exceeds INR 10 crore) and 4% health and education cess. The effective tax rate is approximately 36.4% where no surcharge applies, rising to 37.13% and 38.22% in the two surcharge bands. The India-Greece DTAA relieves double taxation by credit, so Greek companies can claim credit in Greece for tax paid in India.

Can a Branch Office be converted into a subsidiary later?

Yes, but the process requires closing the Branch Office and separately incorporating a new entity. This involves RBI approval for closure, ROC de-registration, settlement of all tax liabilities, and fresh incorporation of the new entity. Plan for 4-6 months for the entire conversion.

How long does the RBI approval take for a Greek Branch Office application?

Under the automatic route (100% FDI sectors), the AD bank can process and approve applications within 4-8 weeks. If the sector requires specific RBI approval, the timeline extends to 8-12 weeks. Document completeness and the quality of English translations are the primary factors affecting processing time for Greek applications.

Does a Branch Office need to file GST returns?

If the Branch Office provides taxable services or its aggregate turnover exceeds INR 20 lakh (INR 10 lakh for special category states), it must register for GST and file monthly or quarterly returns. Most Branch Offices providing professional or consultancy services in India will need GST registration.