IFSCA Revises Fee Structure for BATF Service Providers

International Financial Services Centres Authority (IFSCA) has issued a circular dated July 3, 2024, detailing amendments to fee structures for entities engaging in permissible activities under the IFSCA (Book-keeping, Accounting, Taxation and Financial Crime Compliance Services) Regulations, 2024. This circular, authorized under the IFSCA Act, 2019 and Regulation 17 of the BATF Regulations, modifies previous guidelines effective immediately.

Key changes include the introduction of Schedule 1, outlining specific fees applicable to BATF Service Providers seeking registration. Existing ancillary service providers currently engaged in Bookkeeping, Accounting, Taxation, or Financial Crime Compliance Services within IFSC and expressing readiness to operate under BATF Regulations are exempt from application fees. Moreover, annual recurring fees under BATF regulations will be adjusted based on fees already paid under the ancillary services framework from the date of willingness submission.

INTERNATIONAL FINANCIAL SERVICES CENTRES AUTHORITY

F. No.865/IFSCA/Banking/Fee Revision/2022-23 Dated: July 03, 2024

To

All Regulated Entities in International Financial Services Centres (IFSC) and all Applicants to the International Financial Services Centres Authority (IFSCA)

Sub: Fee structure for the entities undertaking or intending to undertake permissible activities under IFSCA (Book-keeping, Accounting, Taxation and Financial Crime Compliance Services) Regulations, 2024 in IFSC

1. This circular is issued in exercise of powers conferred by section 12 of the International Financial Services Centres Authority Act, 2019, and powers conferred under Regulation 17 of IFSCA (Book-keeping, Accounting, Taxation and Financial Crime Compliance Services) Regulations, 2024 (hereinafter referred as “BATF Regulations”) which have been notified in the Official Gazette on June 04, 2024.

2. The International Financial Services Centres Authority (“Authority”) makes the following amendments/additions to the Circular of even number dated May 17, 2023 on the subject cited above, as amended from time to time:

i. In Schedule 1 of the said Circular, an entry for various fees applicable for BATF Service Providers to be registered under the IFSCA (Book-keeping, Accounting, Taxation and Financial Crime Compliance Services) Regulations, 2024, shall be inserted as sr. no. “L” immediately before the heading “CLARIFICATORY NOTES” as indicated in Annexure hereto:

3. Clarification for existing BATF Service providers under IFSCA Ancillary Service Framework

i. The existing ancillary services providers, who are currently undertaking Bookkeeping, Accounting, Taxation or Financial Crime Compliance Services from IFSC and have communicated to IFSCA about their willingness to operate under BATF Regulations for the same activity, are not required to pay application fees for the same activity.

ii. Further, for the above-mentioned entities, applicable Annual Fees/Recurring Fees under the BATF regulation will be adjusted to the extent of fees already paid by the entity under the ancillary services framework from the date of submission of willingness.

4. The circular shall come in to force with immediate effect.

Yours faithfully

Denning K Babu
General Manager
Division of Treasury, Finance and Accounts

Annexure