RBI relaxes deadline for foreign entities to submit AACs

The branch and liaison offices of foreign entities will now get an additional five months to submit their Annual Activity Certificates (AACs) to designated banks and the Directorate General of Income Tax (International Taxation).

"The AACs from the auditors, as at end of March 31, along with the audited balance sheet, may be submitted on or before September 30 of that year," the RBI said in a circular.
However, for foreign entities who have their fiscal year ending at a date other than March 31, RBI said, "The AAC, along with the audited balance sheet, may be submitted within six months from the due date of the balance sheet."

The RBI said the decision was made after taking into consideration the difficulties expressed by some of the entities in submitting the report on work undertaken by them during the last fiscal in India within the prescribed period.