Knowledge Center
Your comprehensive guide to understanding GIFT City, the IFSCA regulatory framework, and the unique advantages of India's first International Financial Services Centre.
About IFSC GIFT
GIFT City (Gujarat International Finance Tec-City) is India’s premier Greenfield Smart City, developed over 886 acres with world-class infrastructure and a future-ready ecosystem. Designed to be a global financial hub, GIFT City integrates technology, sustainability, and international standards of urban development.
GIFT City — has two zones
- DTA (Domestic Tariff Area)
- SEZ (Special Economic Zone) – International Financial Services Centre (IFSC)
What Makes GIFT CITY Unique
India’s only International Finance Services Centre (IFSC) approved by Ministry of Commerce (Govt. of India)
Single unified regulator (IFSCA) across banking, capital markets, insurance, and digital services
Suite of Favourable Tax Regime, Cost Advantage and Ease of Doing Business
GIFT IFSC Tax Incentives
A globally competitive tax environment designed to foster international financial growth and provide unmatched fiscal advantages.
Income Tax Exemption
The Union Budget 2026-27 significantly boosts the GIFT IFSC by extending the 100% income tax exemption for units to 20 consecutive years within a 25-year block. This doubled tax holiday aims to attract global financial firms and, post-holiday, a 15% flat tax rate applies, enhancing competitiveness with global hubs.
Transaction-related Exemptions
Transactions executed on GIFT IFSC exchanges are exempt from Securities Transaction Tax (STT), Commodities Transaction Tax (CTT), and stamp duty, further enhancing the attractiveness of the centre
Minimum Alternate Tax (MAT)
Companies established as units in GIFT IFSC are subject to MAT at a rate of 9% of book profits, with exceptions for certain companies
Interest Income Exemption
Interest paid to non- residents on money lent to GIFT IFSC units is not subject to taxation, making it a highly appealing prospect for investors
Capital Gains Tax Exemptions
Transfers of specified securities listed on GIFT IFSC exchanges by non-residents are exempt from capital gains tax
GST & Customs Exemption
Units within GIFT IFSC, as well as services providers in GIFT IFSC/SEZ units and offshore clients, are given exemptions/relaxations under the GST and Customs
State Subsidies
Prescribed eligible activities under the IT/ITES policy, including incentives for capital expenditure, operational expenditure, contributions to provident funds, and employee upskilling
FEMA Regulations Exemption
Units within GIFT IFSC are exempt from FEMA regulations, thereby simplifying financial transactions and enhancing ease of doing business.
Open Market Investment
Indian residents are permitted to contribute to investment vehicles in GIFT IFSC as Other Persons Resident in India, thereby allowing them to establish and sponsor contributions towards funds in GIFT IFSC
About IFSCA
The International Financial Services Centres Authority (IFSCA) has been established on April 27, 2020 under the International Financial Services Centres Authority Act, 2019. It is headquartered at GIFT City, Gandhinagar in Gujarat.
The IFSCA is a unified authority for the development and regulation of financial products, financial services and financial institutions in the International Financial Services Centre (IFSC) in India. Prior to the establishment of IFSCA, the domestic financial regulators, namely, RBI, SEBI, PFRDA and IRDAI regulated the business in IFSC.
The main objective of the IFSCA is to develop a strong global connect and focus on the needs of the Indian economy as well as to serve as an international financial platform for the entire region and the global economy.