Investing from Germany and the EU

Last updated 18 October 2026 · By Pradeep Kumar, India Solar

In short: an investor from Germany and the EU can buy the Indian company that owns an operating solar plant under India's automatic foreign-investment route. India withholds 10% tax on dividends paid to investors from Germany and the EU who give a tax residency certificate and Form 10F. ESG and EU Taxonomy reporting supported.

Your home-country rules

No exchange controls.
Participation exemptions generally apply to company investors (Germany 95% at 10% or more; Netherlands and France at 5% or more).

Tax treaty and legal protection

India's treaties with Germany, the Netherlands and France: 10% Indian withholding on dividends. A new India–France protocol was signed in 2026 and is not yet in force.
The EU–India trade agreement was concluded in January 2026 and is not yet in force; a separate investment protection agreement is still under negotiation.

Documents you will need

Commercial register extract or passport
Tax residency certificate and Form 10F
Beneficial owner list

How we work with investors from Germany and the EU

Solar PV is an EU Taxonomy activity; we provide the data funds need for SFDR reporting, including module supply-chain checks.

Related guides

Sources

Information as of October 2026. General information only, not tax or legal advice; rules change and depend on your circumstances.