Govecs Group, a prominent German manufacturer of electric scooters, sought to expand its operations into the Indian market. Majmudar & Partners provided comprehensive legal and tax advisory services to ensure a compliant and efficient market entry.

Facilitating the Transaction

Majmudar & Partners played a pivotal role in Govecs Group’s Indian expansion by:

• Tax Structuring: Developing an optimal tax structure to minimize liabilities, considering India’s corporate tax rates and available incentives.
• Permanent Establishment (PE) Risk Assessment: Evaluating potential PE risks to prevent unintended tax obligations under Indian law.
• Regulatory Compliance: Ensuring adherence to Indian regulations, including the Companies Act, 2013, Foreign Exchange Management Act, 1999 and sector-specific guidelines.
• Entity Formation: Assisting in assessing and establishing the appropriate legal entity in India which aligned with Govecs Group’s business objectives.
• Transfer Pricing Advisory: Providing guidance on transfer pricing policies to ensure compliance with Indian regulations and international standards.

Govecs Group’s strategic entry into the Indian market highlights their commitment to expanding into emerging economies. Majmudar & Partners’ expertise in tax structuring and regulatory compliance ensured that their Indian operations were set up efficiently, mitigating potential tax and PE risks.

Majmudar & Partners provides comprehensive legal and tax advisory services for international companies expanding into India. Contact us today to ensure seamless compliance and optimized operations in the Indian market.