With globalization, the importance of international finance, setting up a business in a well-established and business-friendly place has become crucial. The Gujarat International Finance Tec-City (GIFT City) is one such destination for businesses looking to enter India’s financial markets. GIFT City is an initiative taken by the Government of India and the Government of Gujarat to capitalize on India’s potential in the international financial services sector.<\/p>\n\n\n\n
Let’s walk through the procedure to set up an IFSC Unit in the GIFT City:<\/p>\n\n\n\n
The first step towards starting a business in GIFT City is to identify and select office space within the GIFT City SEZ. This step includes entering into an agreement<\/strong><\/a> with the developer or co-developer of GIFT SEZ. The office space selected will serve as a location for establishing business operations within the SEZ.<\/p>\n\n\n\n Post the finalization of the agreement with the developer, you must obtain a Provisional Letter of Allotment (PLOA). A PLOA officially confirms the allocation of the selected office space within the GIFT City SEZ for your entity. PLOA is an important document for initiating the establishment of your business operations in the SEZ.<\/p>\n\n\n\n In this step, you will have to prepare and submit FORM F along with the following annexures:<\/p>\n\n\n\n Three sets of the above documents have to be prepared and submitted as follows:<\/p>\n\n\n\n After submission of Form F along with the documents, the Development Commissioner contacts the entity for a meeting with the UAC. In this meeting, the entity’s authorized representative will present the case on their behalf.<\/p>\n\n\n\n If the UAC is pleased with the entity’s presentation, then the Development Commissioner will give the entity a Letter of Permission or Approval (LOA).<\/p>\n\n\n\n Within 45 days from the date of issue of the LOA, the entity must deliver a Letter of Acceptance to the Development Commissioner expressing acceptance of the LOA’s terms and conditions.<\/p>\n\n\n\n The next step is for the entity to sign a lease deed with the co-developer of GIFT SEZ within 6 months of getting the LOA and submit it to the Development Commissioner.<\/p>\n\n\n\n When the SEZ License is issued to the entity, it must obtain registration with the NSDL portal<\/strong><\/span>1<\/sup><\/a><\/span> for SEZ Online Registration<\/strong><\/a>. Registration with the NSDL Portal allows reporting and other import, procurement and services-related services.<\/p>\n\n\n\n The next step for the entity is to prepare and sign a Bond cum Legal Undertaking with the Development Commissioner and GIFT SEZ’s Specified Officer and then submit it.<\/p>\n\n\n\n Before commencing business operations, the entity must obtain various registration certificates such as GST<\/strong><\/a>, IEC, RCMC, etc. Further, the entity should also apply for eligibility certificates for exemption from various taxes from the Central and State Governments.<\/p>\n\n\n\nStep 2: Obtain a Provisional Letter of Allotment<\/a> (PLOA)<\/h3>\n\n\n\n
Step 3:File an Application in Form F to SEZ Authorities<\/h3>\n\n\n\n
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Step 4: Unit Approval Committee (UAC) Meeting<\/h3>\n\n\n\n
Step 5: Letter of Permission\/Approval (LOA)<\/h3>\n\n\n\n
Step 6: Letter of Acceptance<\/h3>\n\n\n\n
Step 7: Execution of Lease Deed<\/h3>\n\n\n\n
Step 8: Issue of SEZ License and Registration with NSDL Portal<\/h3>\n\n\n\n
Step 9: Bond cum Legal Undertaking<\/h3>\n\n\n\n
Step 10: Obtain Registration Certificates and Exemption Eligibility<\/h3>\n\n\n\n
Step 11: Registration with the International Financial Services Centres Authorities (IFSCA)<\/h3>\n\n\n\n