What FC-GPR Reports and Why
FC-GPR reports the receipt of foreign investment (equity shares, compulsorily convertible debentures, compulsorily convertible preference shares) by an Indian company from a non-resident investor. The purpose is to give RBI a live record of FDI stocks in India, used for balance of payments reporting and FEMA compliance monitoring.
The form captures: the Indian company's details (CIN, PAN, GSTIN), the foreign investor's details (name, country, investment amount in USD), the nature of shares (equity, CCPS, CCD), the number of shares allotted, the price per share, and the valuation methodology. All amounts must be in USD at the exchange rate on the date of remittance.
Step-by-Step: Filing FC-GPR on FIRMS Portal
Step 1: Set up entity on FIRMS (Foreign Investment Reporting and Management System) portal at firms.rbi.org.in. The authorized signatory (company director or CFO) registers and the AD Category I bank (the bank through which remittance was received) is linked as the processing bank.
Step 2: Obtain valuation certificate. For a new company issuing shares at face value (INR 10 per share), a CA certificate confirming fair value equals face value is typically sufficient. For higher valuations, a SEBI-registered merchant banker must certify the DCF or NAV valuation.
Step 3: Prepare Form FC-GPR with all details. The form also requires the CS/CA certificate on compliance with FDI policy conditions (Form FIRC - Foreign Inward Remittance Certificate from the bank, and KYC documents of the investor).
Step 4: Submit the form on FIRMS. The AD bank reviews and forwards to RBI. Processing time: 5-10 working days. RBI issues an acknowledgement number which is the confirmation of successful filing.
The 30-day window is from allotment, not remittance
Many companies calculate the 30 days from the date the wire transfer arrived in the Indian bank account. The correct trigger date is the date on which the board resolution allotting shares to the foreign investor is passed. If there is a gap of 2-3 weeks between remittance and allotment, the allotment date is the start of the 30-day clock - not the remittance date.
Consequences of Late Filing and How to Regularize
A late FC-GPR is a FEMA contravention under Section 13 of the Foreign Exchange Management Act 1999. The penalty is up to three times the amount involved or INR 2 lakh, whichever is higher. RBI has the option to impose a compounding penalty instead of prosecution - in practice, most late FC-GPRs are handled through the compounding mechanism.
To regularize a late FC-GPR: file a compounding application with the RBI's Compounding Authority (Central Office, Mumbai) via the CEFA portal. The application must include the FC-GPR details, the reason for delay, and a demand draft for the compounding fee (typically 12% per annum on the FDI amount for the period of delay, subject to a minimum). Once compounded, RBI processes the FC-GPR and issues the acknowledgement.
Glossary terms referenced in this guide