International Financial Services Centres Authority (IFSCA or Authority) vide ref. No. F. No. IFSCA/2022-23/GN/REG035 dated May 17, 2023 has issued a Circular on Fee structure for the entities undertaking or intending to undertake permissible activities in IFSC.
The Circular lays down a consolidated fee structure for getting licence, registration, recognition or authorisation or availing of any permitted financial service in the IFSC and recurring fees payable after the grant of licence, registration, recognition or authorisation by the Authority under relevant regulations, circulars, guidelines or framework.
Key highlights of the Circular
1. The fees payable by an IFSC Insurance Office (IIO) to the Authority has been categorised as follows:
Sr. No
Types of Fees payable by an IIO for transacting Direct Insurance and/or Re-Insurance Business
Amount of fees (in USD)
Periodicity
Due Date
1
Application fees and Licence/Registration/Recognition/Authorisation fees- Payable during the application process
Application Fees- $1,000
One time
Along with the application
Licence/Registration/Recognition/Authorisation-$5,000
Within 15 days of intimation of the decision by the Authority to grant provisional/in-principle approval or final licence, registration, recognition or authorisation
2
Recurring fees – Payable after grant of licence, registration, recognition, or authorisation
$11,500 or 1/20th of 1% of total gross premium written by IIO, whichever is higher
Annual
Within 30 days of the end of the financial year
3
Activity based fees – Payable based on the nature and volume of activity carried out by the FIs
Nil
–
–
4
Processing fees –Payable for handling specific requests
a. Modification of terms & conditions of grant of License/ Registration/ Authorization/ Recognition, etc. (of substantive nature)
20% of Registration Fee
As and when
Along with the application/request
b. Relaxation/ waiver of provisions of applicable Regulations, Guidelines, Circulars, etc., and/or Removing difficulties
$2,500
5
Requests for approval of key managerial personnel/ directors/trustee etc., or equivalent
$250
As and when
Along with the application/request
2. Late payment of any outstanding dues/fees or delay in submission of periodic returns
Sr. No
Event
Amount of fees (in USD)
Periodicity
Due Date
1
Failure to pay outstanding dues/fees to the Authority within the specified time.
20% of outstanding fee or outstanding dues payable, plus 15% interest per month till the time the fee/dues remain outstanding after due date ( part of the month being considered as full month ).
As and when
Such dues/ fees may be paid after the specified time, along with late payment fee.
2
Failure to submit periodic returns to the Authority within the specified time
$100 for every month or part thereof of delay beyond prescribed deadlines for each instance of default.
(The maximum late submission fee per entity will be capped at $1,000 per financial year)
As and when
Such returns may be submitted after the specified time, along with late payment fee.
3. Manner of Payment
All dues/fees payable to the Authority shall be paid in the following account of the Authority in USD.
Account Name: International Financial Services Centres Authority
Account Number: 970105000174
Type of Account: USD Current Account
Bank Name: ICICI Bank Limited
SWIFT Code: ICICINAAXXX
NOSTRO Details: CHASUS33XXX
JP MORGAN CHASE BANK NA, NEWYORK, USA
Account no : 833999532
The Circular shall be effective from the date of its issuance and shall replace all other prescriptions issued by the Authority pertaining to fees payable by an IIO.
Source category: IRDAI
Attachments
- /2023/203_Fee_structure_for_the_entities_(1).pdf
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