Fee of No Objection Certificate
This document outlines the No Objection Certificate (NOC) fees established by the Indian International Economic Service (IIES). These fees are designed to cover the administrative costs, document verification, and certification expenses associated with the process. The fee structure not only streamlines the application process but also ensures that applications are treated seriously and dealt with in a timely manner.
The IIES issues NOCs and has set specific fees which may vary based on the type of international transaction or the amount of funds involved. According to IIES policies, the organization issues an NOC for a maximum amount of ₹25,000 crores at one time. This means that if an individual or institution requires a certificate for a higher amount, they must obtain the NOC through separate applications or in a phased manner.
The NOC fee structure is generally determined by the application amount, the complexity of the process, and the documentation involved. The purpose of this fee is not just to cover administrative costs but also to ensure that applicants comply with the necessary legal and financial standards. The IIES conducts this process with complete transparency and according to standard rules to prevent any kind of fraud or financial irregularity.
In summary, the fee set by the IIES for obtaining an NOC is part of an essential administrative process, and the certificate can be issued for a maximum amount of ₹25,000 crores at a time. This limit and fee policy reflect the institution's responsibility for financial control and monitoring international monetary flows.
Key Points on IIES NOC Fees
Purpose of the Fee:
| Category | Description | Estimated Fee |
|---|---|---|
| General Applicants | General fee for smaller amounts. | Approximately ₹10,000 |
| Large Amounts or Special Purpose Cases | For amounts of ₹ 1 Crore or more or special purpose applications.. | ₹2,17,500 or more |
| Foreign Citizens or Institutions | Fees may be charged in USD as per international |
Payment Process:
- The fee must be paid through the official online portal or website authorized by the IIES.
- After payment, the applicant receives a Payment Reference ID, which is mandatory to attach with the application form.
Fee Refund Policy:
- The fee will not be refunded if the application is rejected due to technical reasons or incomplete documentation.
- A refund may be issued only if the application is canceled due to an institutional error.
Additional Charges (If Applicable):
- Additional fees may apply if the application requires a special investigation or additional certification.
- These charges are communicated separately.
Role of the Fee in the Process:
- The NOC application process does not proceed without fee payment.
- It is mandatory to ensure the validity and official scrutiny of the NOC process.
NOC Fee
| Sl. No | Fund Bracket | Base NOC Fee | Surcharge | Total Payable | Subsidy on Surcharge | Depositor |
|---|---|---|---|---|---|---|
| 01 | Up to 2 Crore to 100 Crore | ₹217,500.00 | 5% | ₹228,375.00 | 50% | Agent / Main File Holder |
| 02 | Up to 101 Crore to 200 Crore | ₹290,000.00 | 7% | ₹310,300.00 | 50% | Agent / Main File Holder |
| 03 | Up to 201 Crore to 400 Crore | ₹435,000.00 | 8% | ₹469,800.00 | 45% | Agent / Main File Holder |
| 04 | Up to 401 Crore to 499 Crore | ₹725,000.00 | 10% | ₹797,500.00 | 10% | Agent / Main File Holder |
| 05 | Up to 500 Crore to 999 Crore | ₹10,15,000.00 | 15% | ₹11,67,250.00 | 15% | Agent / Main File Holder |
| 06 | Up to 1000 Crore to 2500 Crore | ₹13,77,500.00 | 20% | ₹16,53,000.00 | 30% | Agent / Main File Holder |
| 07 | Up to 2501 Crore to 4999 Crore | ₹26,10,000.00 | 30% | ₹33,93,000.00 | 25% | Agent / Main File Holder |
| 08 | Up to 5000 Crore to 10000 Crore | ₹40,60,000.00 | 35% | ₹54,81,000.00 | 25% | Agent / Main File Holder |
| 09 | Up to 10001 Crore to 15000 Crore | ₹75,00,000.00 | 45% | ₹1,05,00,000.00 | 20% | Agent / Main File Holder |
| 10 | Up to 15001 Crore to 25000 Crore | ₹92,40,00,000.00 | 50% | ₹1,38,60,000.00 | 10% | Agent / Main File Holder |
Purpose —
The NOC fee serves two main purposes: (1) revenue generation for the Central Government, and (2) a compliance filter — collecting evidence of applicant’s ability and knowledge about incoming foreign funds. The requirement to pay a prescribed fee helps deter and detect potential money-laundering, shell transactions, or cases where the applicant is unaware of funds credited to their account.
If fee is not deposited on time —
- Automatic Hold / Application Pendency: If the prescribed NOC fee is not deposited within the initial submission window (e.g., 30 calendar days from application), the NOC application will be placed on hold (status: “Fee Pending”) and processing will stop.
- Risk Flag & Preliminary Screening: Any application where the fund amount exceeds a threshold (for example, ₹10 lakh) but the fee remains unpaid will be automatically flagged for enhanced due diligence (EDD). This flag triggers KYC re-verification, source-of-fund documentation requests (contracts, donor details, remittance advices), and a transaction history review.
- Notice to Applicant: A written notice (digital and/or physical) will be sent giving the applicant a final opportunity (e.g., 15 days) to pay the fee and provide missing documents. The notice must clearly state consequences of non-payment, including possible reporting.
- Escalation & Suspicion of ML: If fee remains unpaid and document gaps persist, the case will be escalated to the designated compliance officer and, where warranted, reported to Financial Intelligence Unit — India (FIU-IND) or other competent authority as a Suspicious Transaction Report (STR) for possible money-laundering investigation.
- Temporary Freeze / Hold on NOC & Recommendation to Bank: IIES may recommend to the relevant bank to temporarily freeze or flag the concerned inward remittance account for further verification, following legal procedures and after consulting legal/advisory team.
- Refusal / Rejection of NOC: After full internal review and if satisfactory explanations/documents are not provided, the NOC may be formally refused. The applicant will be informed of reasons and appeal mechanism (if any).
- Audit Trail & Recordkeeping: All actions, notices and decisions must be recorded in the application management system for audit, compliance and future reference.
- Penalties & Blacklisting (Policy Option): Policy can specify penalties, additional fees or temporary blacklisting of applicants/agents who deliberately avoid fee payment or provide false documentation. Any such measure must comply with applicable laws and provide procedural fairness.
Risk Indicators - Signs that may point to Money Laundering (examples)
The purpose of the NOC is:
- Sudden, large-scale credit of foreign funds that does not align with the business activities of the concerned individual/company.
- Failure to pay the prescribed NOC fee, despite the fund amount being very high.
- Applicant failing to provide clear source-of-funds details or not submitting supporting documents.
- Unclear identification of the beneficial owner, or the presence of a shell company.
- Large-scale funds arriving in the account through many small remittances (structuring).
- The presence of these indicators recommends Enhanced Due Diligence (EDD) and mandatory legal reporting.
Sample Notice Wording
“Your NOC application (Ref: ####) is currently pending due to non-payment of prescribed NOC fee. Please deposit the fee and submit required documents within 15 days, failing which the application will be held and may be escalated to compliance authorities for further action.”
Implementation checklist for IIES
- Define legally-approved fee slabs and surcharge/subsidy policy.
- Implement application portal that blocks further processing until fee paid or grace period exhausted.
- Build automated flags for high value cases where fee not paid.
- Define required KYC & source-of-fund documents per bracket.
- Appoint compliance officer and escalation matrix.
- Define reporting format & thresholds for FIU-IND / law enforcement.
- Keep audit trail & digital receipts for every payment.
- Communicate clear timelines and appeal mechanism to applicants.