PKC Management Consulting

GST Advisory Services for Foreign Companies in India - PKC

Engaging the Best GST Advisory Services for Foreign Companies in India

Finding the right GST advisory services for foreign companies in India is essential if you want to avoid headaches, penalties, and endless paperwork.

Here’s a guide to GST advisory services for foreign companies along with tips on how to find the right service provider for optimal benefits. 

Why Foreign Companies Need GST Advisory Services in India?

Although India’s Goods and Services Tax (GST) system unifies multiple indirect taxes, it can still present unique complexities for foreign companies entering or operating in the Indian. 

Here’s why expert GST advisory services from experts like PKC Management Consulting are essential:

  • Complex Tax Structure: India’s GST laws include multiple tax rates, exemptions, and reverse charge rules, which change frequently. Staying compliant is crucial to avoid penalties.
  • Multiple State Registrations: Selling across states often requires separate GST registrations. Advisors simplify the process and ensure timely compliance.
  • Frequent Filings With Strict Deadlines: GST requires monthly/quarterly returns (e.g., GSTR-1, GSTR-3B) and annual filings (GSTR-9/9C), varying by business type and turnover. 
  • High Risk of Errors: Misclassifying goods/services or incorrect ITC claims can result in penalties, cash flow issues, and denied credits.
  • Input Tax Credit (ITC): Maximizing ITC reduces tax burden, but requires knowledge of eligibility, reversal rules, and documentation.
  • Cross-Border Transactions: Determining the correct tax (IGST, CGST, SGST) for imports, exports, and digital services is complex and critical.
  • Technology Integration: GST compliance involves e-way bills, e-invoicing, and GSTN portal usage, requiring smooth ERP/system integration.
  • Litigation Support: Handling audits, notices, or disputes needs local legal knowledge and professional representation.
  • Strategic Impact: GST affects pricing, supply chains, contracts, and business models—expert input helps avoid costly mistakes.
  • Frequent Updates: GST laws and rates change regularly—advisors provide timely updates and compliance support.
  • Penalty Risks: GST violations can result in interest, fines, and legal issues. A GST advisor helps you stay compliant and avoid costly mistakes.

Key Components of GST Advisory Services for Foreign Companies in India 

Foreign companies doing business in India need a complete GST advisory package. Here’s what an experience firm like PKC, includes under its  GST advisory services:

GST Registration

  • Entity structure evaluation (branch/subsidiary/LLP)
  • Mandatory registration thresholds & casual taxpayer registration
  • Multi-state registration strategy (location-specific advice)
  • GSTIN application & liaison with authorities
  • Migrating legacy tax registrations to GST

GST Return Filing

  • Monthly/quarterly filing of GSTR-1 (outward supplies), GSTR-3B (summary return)
  • Annual return (GSTR-9) and audit reconciliation (GSTR-9C)
  • Handling reverse charge mechanism (RCM) reporting
  • Nil returns and dormant status management
  • Deadline management to avoid penalties (up to 100% of tax due + interest)

Input Tax Credit (ITC) Advisory

  • Valid ITC claim identification on purchases/capital goods
  • ITC reconciliation with vendor invoices (2A/2B matching)
  • Reversal strategies for exempt supplies/personal use
  • Blocked credit advisory (e.g., employee travel, restaurants)
  • ITC optimization across supply chains

Cross-Border Transaction Support

  • Imports: IGST payment under reverse charge + credit claims
  • Exports: Zero-rated supply mechanisms (LUT/bond filing)
  • Refund claims for export accumulations (REF-01)
  • Place of supply determination for B2B/B2C services
  • Foreign vendor compliance (OIDAR services, RCM applicability)

E-Invoicing & E-Way Bills

  • E-invoicing implementation (mandatory for ₹50 Cr+ turnover)
  • IRN/QR code generation & ERP integration
  • E-way bill generation for interstate goods movement (>₹50k value)
  • Distance/time-based e-way bill validity management
  • Handling bill cancellations & transit violations

Litigation & Dispute Resolution

  • Response drafting for GST notices/demands/summons
  • Audit representation (departmental & GSTR-9C audits)
  • Appeals before Appellate Authority/Tribunal
  • Penalty waiver requests & settlement support
  • Advance ruling applications (AAR)

Tax Planning & Strategy

  • Supply chain restructuring (warehouse tax efficiency)
  • Pricing model optimization with embedded GST costs
  • Vendor contract review for reverse charge clauses
  • Inverted duty structure refund planning
  • Business expansion tax impact analysis

Advisory on GST Rate Classification

  • HSN/SAC code finalization for goods/services
  • GST slab confirmation (0% to 28%)
  • Exemption eligibility analysis
  • Handling dual/multi-rate classifications
  • Impact assessment of rate changes

Technology Integration

  • GST module configuration in SAP/Oracle/other ERPs
  • API integration with GST Suvidha Providers (GSPs)
  • Automated reconciliation tools for ITC matching
  • E-invoicing/e-way bill system implementation
  • Real-time compliance dashboard setup

How to Choose the Best GST Advisory Service Provider in India?

Choosing the best GST advisory services for foreign companies can be tricky, given multiple options and services providers available. 

Here’s how you can take an informed call: 

1. Assess Specialization in Foreign Business Needs

  • Check if they have dedicated teams for cross-border GST (imports/exports, SEZ, foreign vendors)?
  • Ask for 2-3 case studies of foreign clients in your sector (e.g., tech/manufacturing).
  • Avoid generic tax firms without India-outbound experience.

2. Verify Technical GST Compliance Depth

Confirm their expertise in:

  • E-invoicing/ERP integration (SAP, Oracle, etc.)
  • GSTN portal workflows (filing, refunds, amendments)
  • Latest tools for ITC reconciliation and e-way bills.

3. Evaluate Cross-Border Transaction Expertise

Must-have skills:

  • Place of supply determination (B2B/B2C)
  • LUT filings for exports
  • IGST reversals on imports
  • Refund claim optimization (especially for exporters).

4. Check Litigation Support Capability

  • Prioritize firms that have represented clients in GST Appellate Tribunal cases and offer proactive audit readiness (not just reactive notice handling).
  • Verify success rate in resolving disputes for foreign clients.

5. Demand Technology Integration Proof

Ask for: 

  • Demo of their compliance dashboard/reporting tools.
  • Evidence of API-based GST filing via GST Suvidha Providers (GSPs).
  • Automated solutions for e-invoicing/e-way bills.

6. Scrutinize Communication & Accessibility

Confirm:

  • Dedicated account manager + multi-lingual support (if needed).
  • Response time SLA for queries (<24 hours for critical issues).
  • Timezone-aligned availability for global teams.

7. Validate Fee Structure & Transparency

Avoid:

  • Hidden fees (e.g., “per notice” charges).
  • Rigid annual retainers without scalability.

Opt for fixed-fee packages (registration + filings + support) + clear add-on pricing.

8. Check Credentials & Stability

Verify:

  • CA/CMA team qualifications (ask for lead advisor profiles).
  • Firm’s years in GST practice (post-2017 implementation).
  • Client retention rate (aim for >85%).

Check: Reviews on platforms like Google, LinkedIn, or industry forums.

What Makes PKC Best Choice for Foreign Companies?

✅All-India Rank chartered accountants lead practice

✅Specialized foreign subsidiary GST compliance expertise

✅End-to-end GST registration and filing services

✅Proactive risk analysis prevents costly penalties

✅Complete hand holding throughout statutory compliance process

✅Stress-free GST navigation with expert auditors

✅Cross-border taxation specialists for foreign entities

✅Technology-driven solutions for seamless compliance management

✅Dedicated relationship managers for foreign clients

Benefits of Using PKC’s GST Advisory Services for Foreign Companies

India’s GST system penalizes non-compliance harshly (up to 100% fines + interest). 

Our structured approach at PKC turns complexity into confidence, ensuring smoother market entry, optimized operations, and protected profits.

1. Expert Guidance on Complex GST Laws

PKC’s specialists decode India’s frequently changing GST regulations, helping foreign businesses avoid misinterpretations and non-compliance risks.

2. Accurate GST Registration & Filing

We handle multi-state registrations, returns (GSTR-1, 3B, 9/9C), and deadlines, preventing penalties due to errors or delays.

3. Optimized Input Tax Credit (ITC) Claims

PKC identifies valid ITC opportunities, reconciles credits with vendor data, and minimizes reversals—boosting cash flow.

4. Seamless Cross-Border Transaction Support

We handle IGST on imports, zero-rated exports (LUT/bonds), refunds, and place-of-supply rules for international deals.

5. Technology-Driven Compliance (E-invoicing/E-way Bills)

PKC integrates e-invoicing/ERP systems and automates e-way bills, reducing manual work and transit delays.

6. Proactive Litigation & Dispute Management

Their team handles audits, notices, and legal appeals, shielding clients from costly GST disputes.

7. Strategic Tax Planning & Rate Classification

PKC advises on HSN/SAC codes, GST slabs (0–28%), supply chain restructuring, and cost-saving opportunities.

8. Dedicated Support for Foreign Businesses

They offer tailored solutions for India-entry challenges (entity setup, contracts, refunds) with global timezone support.

9. Continuous Updates & Training

Clients receive real-time alerts on GST law changes and staff training to maintain internal readiness.

Frequently Asked Questions

  1. What is GST advisory for foreign companies in India?

GST advisory helps foreign companies register, file returns, claim credits, and stay legally compliant under India’s complex tax system. It covers end-to-end support to manage Goods and Services Tax obligations without hassle.

  1. Is GST registration mandatory for foreign companies?

Yes, if you supply taxable goods or services in India, GST registration is usually compulsory. Even foreign businesses without a permanent office in India often need to register with a local tax representative.

  1. Can foreign companies claim input tax credits in India?

Foreign companies can claim input tax credit if they are properly registered under GST. They must match supplier invoices and comply with India’s strict GST credit rules.

  1. What happens if a foreign company does not comply with GST laws?

There can be heavy penalties, interest, or even cancellation of registration. Non-compliance might also trigger audits or investigations.

  1. What is the role of a tax representative in India?

A tax representative acts as the foreign company’s authorized contact with Indian tax authorities. They help manage filings, notices, and day-to-day GST tasks.

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