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Cross-Border Trademark Licensing and Royalty Compliance

Licensing a brand across a border is two jobs, and most providers only do one of them. There is the trademark side — the agreement, the registered user filing, the quality control that keeps the mark enforceable. Then there is the money side: GST on the royalty, withholding tax, Form 15CA and 15CB, and transfer pricing. Get the first right and the second wrong and you have a valid licence with a tax problem attached.

2 to 4 weeks डिलीवरी
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50% अग्रिम, 50% डिलीवरी पर

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Transparent 3-tier pricing

Pick the speed and depth that matches your need. Same quality, same CA team — only the timeline changes.

starter

7,99911,999

Timeline: 2 weeks

TM-U registered user filing
Licence agreement review
Proprietor affidavit on degree of control
Licence agreement drafting
Quality control and termination clauses
GST position on royalty, including reverse charge
Withholding rate and treaty analysis
Form 15CA and 15CB on each remittance
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standard

24,99932,999

Timeline: 3 weeks

TM-U registered user filing
Licence agreement drafting
Quality control and termination clauses
Territory, term and royalty terms drafted
GST position on royalty, including reverse charge
Withholding rate and treaty analysis
Form 15CA and 15CB on each remittance
Transfer pricing position for related parties

pro

49,99964,999

Timeline: 4 weeks

Everything in Growth
Withholding rate and treaty analysis
Form 15CA and 15CB on each remittance
TRC and Form 10F coordination
Transfer pricing position for related parties
Section 50 cancellation when the licence ends
Franchise structure review, where relevant
Named CA on your file

सरकारी शुल्क — आपके द्वारा वास्तविक राशि पर देय

Form TM-U for a registered user entry is ₹4,500 by e-filing and ₹5,000 physical, paid at actuals. Stamp duty on the licence agreement is payable under your State Stamp Act. GST on royalty, withholding tax on remittances and any transfer pricing adjustment are your own liabilities, settled with the authorities directly.

ऊपर दी गई सभी कीमतें व्यावसायिक शुल्क हैं — GST और सरकारी शुल्क अतिरिक्त। 50% डिलीवरी पर।

All fees and charges listed are indicative only and do not constitute a binding offer. Final amounts may vary depending on the volume of work and the complexity involved.

यह कैसे काम करता है

Week 1

Draft the agreement

Four terms carry the weight and the Registry expects all of them: quality control, territory, term, and royalty. Then exclusivity, sub-licensing, enforcement and change of control.

Week 2

File Form TM-U

Proprietor and proposed user apply jointly under Section 49, supported by the written agreement and an affidavit by the proprietor stating the degree of control over permitted use.

Week 3

Set the tax position

Reverse charge GST where the licensor is outside India, treaty withholding rate with a valid TRC and Form 10F, and an arm’s length royalty rate where the parties are related.

On remittance

Form 15CA and 15CB

Required on each remittance. The 15CB certificate is issued by a Chartered Accountant, which is why doing this inside an accounting firm rather than alongside one is faster.

मुफ़्त 15-मिनट CA परामर्श पाएँ

अपनी आवश्यकता बताएँ, 30 मिनट में CA कॉल करेगा।

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आवश्यक दस्तावेज़

Registration certificate for the mark being licensed
Draft or executed licence agreement
Affidavit by the proprietor on the degree of control over permitted use
Details of the licensee and the territory covered
Royalty rate and the basis on which it is computed
Tax Residency Certificate and Form 10F, for cross-border royalties
Constitutional documents of both parties
Transfer pricing benchmarking, where the parties are related

CorporateWalla® को क्यों चुनें?

The only page with both halves

The trademark work and the withholding, reverse charge and 15CA/15CB work on one engagement. Most IP firms cannot do the tax side and most tax firms cannot do the Registry side.

Registration is optional, useful anyway

An unregistered licence is recognised as permitted use where there is a written agreement and the proprietor’s consent. A registered entry gives you a recorded position, which matters when someone files a rectification alleging non-use.

Quality control keeps the mark alive

The most important clause and the one most often left thin. A bare licence with no quality control invites the argument that the mark no longer indicates a single trade source, which puts the registration itself at risk.

Reverse charge catches Indian licensees

Where the licensor is outside India, the Indian licensee accounts for GST under reverse charge. Nobody issues them an invoice with GST on it, so they assume none is due.

Treaty rate needs a TRC on file

The treaty rate usually beats the domestic withholding rate, but only with a valid Tax Residency Certificate and Form 10F. Producing them afterwards means claiming a refund instead.

Cancel the entry when the licence ends

A registered user entry can be varied or cancelled under Section 50. An entry that outlives the licence is a live inaccuracy sitting on the register.

अक्सर पूछे जाने वाले सवाल

No. Unregistered licences are recognised as permitted use where there is a written agreement and the proprietor’s consent. Registering as a registered user gives a recorded position that is easier to prove.

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