ESTABLISHMENTOF OVERSAES OFFICE

[Guest]

Whether Form OBR is required to be filed with AD to establishment overseas branch at the time of making initial remittances?

Awaiting your prompt reply.

[Anuj Gupta]

The Indian firm/companies should submit applications to their bankers (authorized dealers) in form OBR along with the particulars of their turnover duly certified by their auditors and also a declaration to the effect that they have not approached/would not approach any other authorized dealer for the facility being applied for.

The application form OBR needs to be filled in with necessary details along with supporting documents.  After which the foreign exchange is released by the authorized dealer (bank).

AI Summary

Filing Form OBR is mandatory for Indian firms setting up overseas branches and making initial remittances. An inquiry was made regarding the necessity of filing Form OBR with an authorized dealer when establishing an overseas branch and making initial remittances. The response clarified that Indian firms or companies must submit Form OBR to their bankers, including turnover details certified by auditors and a declaration that no other authorized dealer has been or will be approached for the same facility. The form must be completed with the necessary details and supporting documents before the authorized dealer releases the foreign exchange.