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I

NDIA

B

RIEFING

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2014

Dear Clients and Readers,

After a turbulent year for India’s economy, strong quarterly growth figures and

encouraging political developments appear set to

make 2014 one of the most promising years for foreign investors in recent memory

.

Driven by the expectation

that Indian exports and investment demandwill increase steadily alongside a pick-up

in the global economy, Goldman Sachs and the Reserve Bank of India expect GDP

growthwill reach 5.5 percent in 2014 andmaintain a pace of about 7.5 percent over the

next few years. India’s current account deficit sits at its lowest level in more than four

years, and corporate confidence in the country surpasses both China and the United

States according to Ernst & Young’s annual Capital Confidence Barometer Report.

Making a strategic and informed decision about investing in India requires both an understanding of the diverse

options for investment in the country, and recent changes in FDI policy that open several key business sectors

to increased foreign investment.

In this issue of India BriefingMagazine, we explore important amendments to India’s foreign investment policy,

and outline the various investment options for business establishment— including the establishment of a

wholly owned subsidiary company in sectors that permit 100 percent foreign direct investment. Finally, we

explore several taxes that apply to wholly owned subsidiary companies and their operators.

As India ventures into 2014,

Dezan Shira & Associates advisors in Delhi and Mumba i

are proud to offer

business advisory services, tax consulting, internal audits, and assistance with business establishment in India.

Best Regards,

Gunjan Sinha

Country Manager

Dezan Shira & Associates, India

Introduction

Issue 21

February 2014

Badri Nath Arya

Watercolour and wash, on paper pasted on cardboard, 98.3 X 65.3 cm

Delhi Art Gallery

info@delhiartgallery.com

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www.delhiartgallery.com

| +91 11 4600 5300

This Month’s Cover Art

For Reference

India Briefing and related titles

are produced by Asia Briefing

Ltd, a wholly owned subsidiary

of Dezan Shira Group.

Materials within are provided

by Dezan Shira & Associates. No

liability can be accepted for any

of its contents. For any queries

regarding the content of this

magazine, please contact:

editor@asiabriefing.com