India: Corporate and Company Law

Every legislative reform carries within it the seeds of unintended consequences, and the Companies (Amendment) Acts of 2019 and 2020 were no exception.

The Ministry of Corporate Affairs (“MCA”), vide notification dated 22.05.2026, has notified 26.05.2026 as the date on which certain provisions of the Insolvency and Bankruptcy Code (Amendment) Act, 2026 (“IBC Amendment Act”) shall come into force.

Environmental, Social and Governance (“ESG”) considerations have moved far beyond corporate sustainability reports and boardroom policy discussions. Today, ESG has become deeply embedded in infrastructure financing, project valuation, regulatory approvals, investment due diligence, and long-term asset bankability across India.

The Income-tax Act, 2025 introduces significant amendments to India's transfer pricing regime, fundamentally restructuring how associated enterprise relationships are determined and expanding the scope of international transactions subject to arm's length pricing requirements.

On 23rd March 2026, the Government introduced the Corporate Laws (Amendment) Bill, 2026 (the “Bill”) in the Lok Sabha, proposing amendments to the Companies Act, 2013 and the Limited Liability Partnership Act, 2008. While introducing the Bill, the Finance Minister stated that it was aimed at facilitating greater ease of doing business for law-abiding corporates.

Today’s business world involves complex, high-value, and often international transactions. Because of this, companies focus not just on making good deals, but also on having clear and efficient ways to resolve...

India stands among the world’s fastest-growing economies with a large and dynamic market. India presents immense opportunities for business expansion and fresh investment. These advantages have positioned India as a highly attractive destination for Foreign Direct Investment (FDI), drawing sustained interest from global enterprises seeking to establish their operations.

For years, incorporation carried a predictable reputation among Indian businesses. Entrepreneurs often associated company registration with statutory filings, taxation requirements, annual disclosures, and regulatory obligations under corporate law.

A FOCC refers to an Indian entity that has received foreign investment and is ultimately owned or controlled by persons resident outside India. Although incorporated in India under the Companies Act, such entities are treated differently from domestically owned and controlled Indian companies for the purposes of foreign investment regulation and downstream investment structuring. Consequently, an FOCC, despite being an Indian incorporated entity, is subject to regulatory conditions applicable to foreign investment while undertaking investments into other Indian entities.