Akshat Limited is a company incorporated in Singapore, desires to establish a branch office at Mumbai. Advise whether the branch office will be…

According to section 2 (42) of the Companies Act, 2013, “Foreign company" means any company or body corporate incorporated outside India which- (1) has a place of business in India whether by itself or through an agent, physically or through electronic mode; and (2) conducts any business activity in India in any other manner. Further, branch offices are generally considered as reflection of the Parent Company' office. Thus, branch offices of a company incorporated outside India are considered as a place of business for conducting business activity in India and will be required to follow provisions of Chapter XXII and such other provisions as may be specified elsewhere under Companies Act, 2013.