FDI Filing with RBI Online
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Foreign Direct Investment (FDI) is a crucial growth driver for Indian businesses, but regulatory compliance is non-negotiable. When an Indian company receives FDI and issues shares to a foreign investor, it must report the investment to the Reserve Bank of India (RBI) by filing Form FC-GPR through the Foreign Investment Reporting and Management System (FIRMS) portal.
Timely and accurate reporting ensures smooth operations and prevents penalties. That’s where expert assistance comes in—let professionals handle the complexities while you focus on your business.
What is FDI Filing with RBI?
FDI filing is the process of reporting foreign investment in an Indian company to ensure compliance with RBI regulations under the Foreign Exchange Management Act (FEMA), 1999. It applies to:
- Equity Shares
- Compulsorily Convertible Preference Shares (CCPS)
- Debentures
- Warrants or Partly-Paid Shares
To complete the process, companies must submit Form FC-GPR along with a Company Secretary (CS) certificate confirming compliance.
Why is FDI Reporting Important?
FDI reporting is not just a formality—it plays a key role in:
- Regulatory Compliance – Ensures adherence to RBI and FEMA guidelines.
- Transparency & Tracking – Helps the government monitor and regulate foreign investments.
- Business Growth – Maintains credibility with investors and financial institutions
Failure to comply can lead to penalties and legal consequences that may impact future FDI approvals.
FDI Routes – Automatic vs. Government Approval
Foreign investment in India can happen through two routes:
- Automatic Route No prior approval is required from RBI or the Government of India. Applicable to most industries where FDI is permitted.
- Government Route Requires prior approval from the Government of India. Applicable to restricted sectors like defense, telecom, and media.
Not sure which route applies to your business? Professional guidance ensures accurate classification and seamless filing.
What is Form FC-GPR?
Form FC-GPR is a mandatory filing that businesses must submit within 30 days of share allotment after receiving foreign investment.
Where to file?
On the FIRMS portal of the RBI.
Who must register?
Companies must create an Entity Master before filing.
What happens if you miss the deadline?
Non-compliance results in financial penalties.
When Should FC-GPR Be Filed?
Filing Form FC-GPR is required in two key situations:
For Newly Incorporated Companies Receiving FDI
- A bank account must be opened post-incorporation.
- Upon receiving foreign funds, the company must file Form FC-GPR.
- While FEMA has no strict timeline for receiving funds, the Companies Act requires fund receipt within 180 days.
For Additional Share Issuance to Foreign Investors
- Shares must be allotted within 60 days of receiving application money.
- Once allotted, Form FC-GPR must be filed within 30 days.
Note: Investments in instruments like loans fall under External Commercial Borrowings (ECB) and require separate compliance.
Due Date & Penalties for Late Filing
Form FC-GPR must be filed within 30 days of share allotment. ⚠️ Penalties for Late Filing:
- 1% of the total investment (Minimum INR 5,000 – Maximum INR 5 lakhs per month) for the first six months.
- After six months, the penalty doubles to 2% per month.
Documents Required for FC-GPR Filing
- KYC report of the remitter
- Declaration from the company’s authorized representative
- CS certificate confirming compliance
- Valuation report from a CA or merchant banker
- FIPB approval (if applicable)
- Board resolution for share allotment
- Pricing guidelines declaration
- Any additional documents requested by RBI or AD Bank
Step-by-Step Process for Filing FC-GPR
- Obtain an Authorized Dealer (AD) Code – A registered bank authorized by RBI verifies filings
- Register on the FIRMS Portal – Set up an Entity Master and Business User account.
- Prepare the FC-GPR Form – Enter investment details and attach supporting documents.
- Obtain Certification – The company’s authorized signatory and AD bank must verify the form.
- Submit Online – File through the RBI’s FIRMS portal. ✔️ Download Acknowledgment – Keep a record of submission
- Follow Up with AD Bank – Ensure successful processing by the RBI.
Why Choose Professional Assistance for FDI Compliance?
Navigating RBI regulations can be complex, and errors in FDI filing can lead to penalties or processing delays. Professional assistance ensures:
Expert Guidance – Error-free filings and compliance assurance. * Experts can provide pre-filing consultations to ensure all documents are in order.
* They can handle communication with the AD bank and RBI on your behalf.
* They can provide updates on any changes in RBI regulation.
Why Choose Us?
- End-to-End Online Support – From document preparation to submission.
- Timely Compliance – Avoid penalties with on-time filings
- Hassle-Free Process – Let professionals handle the paperwork while you focus on business growth.
For expert guidance on company incorporation and regulatory compliance, consult .com today RMCAuditors is here to help! Text us on whatsApp or call us today .
FAQs – Foreign Company Registration in India
The FIRMS portal is available on the official Reserve Bank of India website.
RBI regulations are subject to change. It is recommended to check the RBI website for the latest updates. Professionals specializing in FDI compliance can also provide current information.
The AD bank serves as an intermediary, verifying the authenticity and compliance of your FDI filings before submission to the RBI.
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