インドにおける外国ポートフォリオ投資（FPI）の税務上の影響とコンプライアンス

Foreign Portfolio Investment (FPI) sounds similar to Foreign Direct Investment(FDI), however, they both have a fundamental difference of intent. Considering the developing Indian Economy and growth, India has become a point of attraction for investment across the globe. In line with the Indian economy, the progressive Indian Share market is alluring not only Indian Investors but also global Investors to invest their funds in India to get better returns.

As per reports, FPI Investment in India in equities has reached INR 1.16 Lakhs Crores by the first week of July itself. However, Such a substantive amount of investment requires the investors to be very vigilant about the legal Compliances applicable in India for approval and taxes.

This article gives an overview of Foreign Portfolio Investment and discusses the tax implications and compliances applicable thereon in India:

1. What is Foreign Portfolio Investment?

• As the name depicts, Foreign Portfolio Investments allow investors to form an investment portfolio in a foreign country. Investment can be made in Equity shares, Mutual funds, bonds, Fixed Deposits, or any other permitted security.
• Unlike Foreign Direct Investments, Investors do not intend to get control of the entity. Rather such investments are meant for handsome returns.
• Investors are willing to take higher risks by investing in securities of other countries to get higher returns.

Read Also: Input tax credit of rejected refund amount can be taken manually by the taxpayer if not recredit by tax authorities

2. Regulation of Foreign Portfolio Investments?

• Foreign Portfolio Investment is regulated by the Security Exchange Board of India through the Securities and Exchange Board of India (Foreign Portfolio Investors) Regulations, 2014 (“FPI Regulations”).
• FPI regulations define the criteria for registration of FPI, permissible securities for investment, reporting requirements, etc.
• As per the FPI Regulations, a Foreign Portfolio Investment is required to satisfy the eligibility conditions given under Regulation 4 and to register itself as an FPI with a Designated Depository Participant (DDP). Upon receipt of the application from FPI, the Designated Depositary Participant shall grant the certificate of registration.
• Further, an FPI is allowed to invest only in lists of securities specified under Regulation 20 of the regulations. 

3. Permitted Investments in India

As per Regulation 20 of FPI regulations, an FPI is permitted to Invest in the following securities:

1. shares, debentures, and warrants issued by a body corporate; listed or to be listed on a recognized stock exchange in India;
2. units of schemes launched by mutual funds under Chapters V, VI - A, and  VI - B of the Securities and Exchange Board of India
3. Units of scheme floated by a Collective Investment Scheme by the SEBI (Collective Investment Scheme) Regulations, 1999
4. Derivatives traded on recognized stock exchange
5. Units of real estate investment trusts, infrastructure investment trusts, and units of category III Alternative Investment funds registered with SEBI
6. Indian Depository receipts
7. Any debt securities or other instruments as permitted by RBI for FPI to invest from time to time
8. Any other instrument as specified by SEBI from time to time.

4. Tax Implications and Compliances on FPI:

4.1 Obtain Permanent Account Number (PAN) in India

• The FPI is required to obtain a PAN in India.
• The Application for allotment of PAN is automatically generated and sent by the Digital Depository Participant  (DDP) once registration of FPI is completed through the Common Application Form.
• Following is the process flow of generation of PAN:

4.2 Tax Framework for FPI

• Funds of FPI are invested in India to obtain handsome returns. Such investment is made in Securities (listed or unlisted), Fixed Deposits, bonds, etc.

1. Capital Gains

• Any security (whether listed or unlisted) held by the FPI is considered a capital asset and profit or loss arising from the transfer of such capital asset shall be taxed as capital gains.
• Such capital gain shall be taxed as Long Term Capital Gain or Short Term Capital gain depending on the period of holding of capital asset.
• Capital assets shall be classified as short-term capital assets or long-term capital assets in the following manner:

However, as per Finance Act, 2024, the following shall be the criteria for the classification of capital assets as long-term capital assets or short-term capital assets with effect from 23rd July 2024:

• As per Section 115AD of the Income Tax Act, Any capital gain arising from the transfer of the above-mentioned capital assets shall be taxed at the following rates depending on the nature of the capital asset:

As per the Finance Act, 2024, Any capital gain arising from the transfer of the above-mentioned capital assets shall be taxed at the following rates depending on the nature of the capital asset with effect from 23rd July 2024:

2. その他の所得
   • FPIが投資を通じて得た利子、配当所得などのその他の所得は、「その他の所得」として課税されます。
   • 所得税法第115AD条に基づき、FPIが受け取る所得には以下の税率が適用されます。

• 当該所得に対しては、適用税率に基づき源泉徴収税（TDS）が差し引かれます。

c. セス（教育・保健目的税）および付加税

• 上記の所得税に加え、適用される付加税（2〜37%の範囲）および保健・教育目的税（4%）が課税されます。

d. 租税条約（DTAA）

• 上記の税率は、各国のインドとの租税条約（DTAA）の適用対象となります。
• FPIは、各国のDTAAの恩恵を受ける資格があります。
• DTAAの規定は、FPIにとって有利な範囲において、インドの税法に優先して適用されます。

4.3 FPIへの支払いに対する源泉徴収税（TDS）

• 1961年所得税法に基づき、支払者は所得の性質に応じて、支払い時に一定割合の金額をTDSとして源泉徴収する義務があります。例えば、利子所得の支払いには10%、配当所得には10%、不動産の売却には1%のTDSが適用されます。
• したがって、FPIは適用税率でTDSが差し引かれた後の利子および配当所得を受け取ることになります。ただし、当該TDSの控除は、会計年度終了後の確定申告時に申請することができます。

4.4 インド国外への資金送金前の納税

• FPIは、上記の所得に対する税金を以下のいずれか早い方の期日までに納付する必要があります：
  • 四半期ごとの予定納税
  • インド国外への資金送金前

4.5 所得税申告

• FPIは、適用される期限（7月31日、10月31日、または11月30日）までに所得税申告を行う必要があります。
• FPIは、該当する場合、所得税法の規定に基づき監査を受ける必要があります。
• さらに、FPIがDTAAの恩恵を受ける場合は、所得税申告の前にフォーム10Fを提出する必要があります。

5. 結論

インド経済は、世界中の外国人投資家を惹きつけ、インドへの投資による高いリターンを提供しています。しかし、インドで得た所得にはインドでの所得税が課されます。そのため、FPIは、利子、配当、キャピタルゲインなどの投資を通じて得た所得に対してインドで発生しうる納税義務や、インドで提出すべき申告書について、専門家のアドバイスを求める必要があります。さらに、FPIがインド国外へ資金を送金する際は、インドの指定専門家から納税証明書を取得した後にのみ許可されます。