US Subsidiary of an Indian Company
Set up and run a US subsidiary within FEMA and transfer pricing rules
- 1PlanStructure, funding and TP model.
- 2Set upEntity formed and ODI reported.
- 3RunAnnual US and Indian compliance.
Share your details. We’ll reply on WhatsApp with the next steps and a checklist.
Pick a plan — the fee is adjusted if you hire us within 30 days.
About US Subsidiary of an Indian Company
A clear overview, in simple terms — what it is, why it matters, and how we handle it.
An Indian company can set up a US subsidiary under the automatic route of the Overseas Investment Rules, 2022, within limits linked to its net worth, by reporting the investment through its authorised dealer bank in Form ODI and obtaining a UIN. Every year it files an Annual Performance Report. Transactions between the Indian company and the US subsidiary must be priced at arm's length, and the subsidiary should be managed in the US to avoid being treated as Indian-resident under POEM.
We choose the entity (LLC or C corp) and state, form it, complete the ODI reporting, set up intercompany agreements and transfer pricing, and run both countries' compliance — US returns and Form 5472, Indian Form 48 (formerly 3CEB) and APR.
Dividends from the US subsidiary are taxed in India with credit for US withholding; repatriation and the use of the subsidiary's funds must also follow FEMA timelines.
| Route | Automatic route under the OI Rules 2022 (within limits) |
|---|---|
| Reporting | Form ODI via AD bank; UIN |
| Annual | Annual Performance Report; Form 48 transfer pricing |
| US | Federal and state returns; Form 5472 |
| Risk | POEM if managed from India |
Who this is for
Common scenarios where this service is a good fit.
- Indian IT, SaaS and services companies entering the US
- Manufacturers setting up US distribution
- Companies acquiring US businesses
What you get
Clear deliverables so you know exactly what's included.
- Structure and state choice
- Formation and ODI reporting
- Intercompany agreements
- Two-country compliance
Expert review before every submission — not just data entry.
Working notes and reconciliations you can rely on in future notices.
Resident Indians, NRIs, expats and cross-border businesses — all served.
Documents required
A practical checklist. We'll tell you if anything else is needed based on your case.
* This is a base checklist. After a quick pre-check, we may ask for additional items specific to your case.
Process
A simple, trackable workflow — designed to avoid back-and-forth.
Structure, funding and TP model.
Entity formed and ODI reported.
Annual US and Indian compliance.
Get a quote
We share a clear quote on WhatsApp after a quick checklist pre-check.
- Fixed quote on WhatsApp after a short look at your facts and documents.
- Government fees, if any, are paid at actuals and shown separately.
| Factor | DIY | Indus Tax |
|---|---|---|
| Expert review | ❌ | ✅ |
| Notice risk reduction | ❌ | ✅ |
| Deduction optimisation | ❌ | ✅ |
| Audit-ready records | ❌ | ✅ |
| AIS/26AS reconciliation | ❌ | ✅ |
Share your facts and deadline. We'll reply with the right checklist and a clear quote.
Fee adjusted against our service fee if you go ahead within 30 days.
- Priority CA Call-backSkip the queue — a CA calls you within 30 minutes.₹255
- RecommendedCA Consultation (30 min)Talk one matter through properly with a CA.₹755
- In-depth CA Review (60 min)Documents reviewed before the call, written action plan after.₹1,155
Call-backs run Mon–Sat, 9 AM–6 PM IST. Booked outside these hours? We call you first thing the next working morning.
Compare the 3 plansFrequently asked questions
Answers to the most common questions we get.
Official sources
Indus Tax is a private professional services firm and is not affiliated with any government authority. Rules and fees change — we confirm current positions before filing.
