GIFT City, located in Gandhinagar, Gujarat, was established in 2015 as India’s first greenfield smart city dedicated to financial and IT services. It operates under the International Financial Services Centres Authority (IFSCA), a unified regulator that combines the powers of RBI, SEBI, IRDAI, and PFRDA, ensuring seamless compliance

1. Key Features:

• Dual Zones:

  • SEZ (Special Economic Zone) – Offers tax exemptions and duty-free imports.

  • DTA (Domestic Tariff Area) – Allows businesses to operate in Indian rupees for domestic transactions.

• World-Class Infrastructure: Smart offices, 24/7 power backup, high-speed connectivity, and sustainable urban planning 

• Global Recognition: Ranked 16th in Asia in the Global Financial Centres Index (GFCI), surpassing Mumbai 

2. Why Choose GIFT City for Your Private Limited Company?

GIFT City is designed to "onshore offshore" financial activities, meaning businesses can enjoy global benefits while operating in India. Here’s why it stands out:

• Regulatory Ease: Single-window clearance under IFSCA reduces bureaucratic hurdles 

• Tax Efficiency: Significant tax holidays and exemptions (discussed below).

• Foreign Currency Transactions: Businesses can transact in USD, EUR, or other foreign currencies without FEMA restrictions 

• Access to Global Markets: Companies can serve international clients while being based in India.

3. Key Benefits of Incorporating in GIFT City

A. Tax Benefits

• 10-year tax holiday on profits for IFSC-registered companies 

• No capital gains tax for offshore investors in certain securities 

• Zero GST on international transactions and services exported from GIFT City 

• Reduced corporate tax rate (as low as 9% for certain financial services) 

Example: JP Morgan, BlackRock, and Allianz operate in GIFT City, leveraging these tax advantages 

B. Simplified Compliance

• No CSR requirement for the first 5 years 

• Exemption from FEMA regulations, allowing free repatriation of profits 

• No minimum residency requirement for directors 

C. World-Class Infrastructure & Talent Pool

• Smart offices with plug-and-play facilities.

• Proximity to top universities ensures access to skilled professionals.

• 24/7 operational exchanges (e.g., India INX, NSE IFSC) for seamless global trading 

Example: HSBC, Standard Chartered, and Barclays have set up Offshore Banking Units (IBUs) in GIFT City 

4. Types of Businesses & Foreign Investment Opportunities

A. Permissible Business Sectors

GIFT City allows private limited companies in:

• Banking & Finance (Offshore banking, treasury operations)

• Insurance & Reinsurance (Swiss Re, Allianz) 

• Fund Management (AIFs, Hedge Funds, Venture Capital)

• FinTech & Blockchain (Regulatory sandbox available) 

• Aircraft & Ship Leasing (Tax exemptions on leasing income) 

B. Foreign Investment Opportunities

• 100% FDI allowed in most sectors 

• Easy repatriation of profits without FEMA restrictions 

• Foreign companies can set up branches or subsidiaries with minimal compliance 

Example: DBS Bank and Singapore Exchange (SGX) have expanded operations in GIFT City 

5. How Our Experts Can Help You

Setting up a business in GIFT City involves navigating regulatory approvals, tax structuring, and compliance. Our team specializes in:

✅ Company Registration: Choosing the right legal structure (Private Ltd, LLP, Branch Office).
✅ Regulatory Approvals: Fast-tracking IFSCA and SEZ approvals.
✅ Tax Optimization: Maximizing benefits under IFSC and SEZ policies.
✅ Office Space Allocation: Securing premium office spaces in GIFT SEZ.
✅ Post-Incorporation Support: GST, compliance, and financial reporting.

GIFT City is a game-changer for private limited companies seeking global competitiveness, tax efficiency, and regulatory ease. With giants like JP Morgan, HSBC, and Allianz already thriving here, now is the time to leverage this financial hub for your business growth.Ready to incorporate your company in GIFT City? Contact our experts today for a free consultation and seamless setup!