PerkyNoodle
PerkyNoodle

Can a foreign company hire Indian employee to work remotely?

I’m not talking about companies like Meta, Google or companies that have their branch offices in India. Even Turing has registered India entity to pay employee salaries.

For example, take Miro. They have offices in Amsterdam but they don’t have a registered entity/office in India. Can companies like those hire Indian workers and make them work remotely from India? If yes, how would they pay salary? They won’t have official payroll here and without a registered entity they can’t pay PF. How does this salary thing works in this case? And do we have to pay taxes for both the countries?

Reason for asking: I was watching “Silicon Valley” and there was an episode where Pied Pieper hires 3 engineers from India, Pak and Europe without having any official offices in those country. How would they pay their salaries? Also, read somewhere on Medium that few people are working this way and getting paid $ equivalent of their salaries. If anyone knows anything about this kindly share info on comments.

15mo ago
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PerkyBagel
PerkyBagel

I am also working for a Canadian company which is not yet registered in India, what they did is untill they register themselves here in India they hired as an independent contractor and paying money in Rupees. But in this situation I have no idea how the taxation will work. Reply appreciated!

MagicalPanda
MagicalPanda

Contact CA. They will help you. Contractor position has advantages and disadvantages

FuzzyNoodle
FuzzyNoodle

Remote.com solves this, you just need a global employment solutions provider

SparklyNugget
SparklyNugget
Amazon15mo

Waaaaaattttthhhhhh, You wrote such a long post for such a simple query.....

FuzzyMarshmallow
FuzzyMarshmallow

That's why I switched directly to comments

PeppyMuffin
PeppyMuffin

I don't think any answers till now answered all the questions. I am adding my question here as well to make it more clear. I know of 2 options, first you work on a payroll of some third party and this third party will take a cut and pay you in INR. Problem in this case, your offer letter, experience letter etc will say that you are an employee of this third party(small body shopping company) and you will not have any proof of having worked with the actual company. In this case third party will provide you PF, insurance etc. Second option is to work as a consultant. You are self employed and provide your services to a company abroad. In this case no offer, experience letter and no PF, insurance etc. You have more avenues to save income tax though.

My question: is there any way in which an abroad startup entity issue you equity without registering a legal entity in India?

SparklyMuffin
SparklyMuffin

I am working this way. No deductions at org’s end. Taxes to be done by employees themselves.

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