Do Indian funds have HMRC reporting fund status?

The short answer

Some do. As at 4 August 2026, 18 India-domiciled or GIFT City parent funds hold HMRC reporting fund status across 69 share classes. Most Indian funds still do not. If yours does not, your profit on sale is taxed as income at up to 45% rather than as a capital gain at 24%.

By Yash Jhaveri, Founder & CEO, Beyond

Beyond · JSL Wealth Management · Vadodara · ARN XXXXX
Published August 2026 · Last reviewed September 2026 · Regulatory position as at September 2026

What is reporting fund status?

It is a status HMRC grants to an offshore fund that agrees to report its income to UK investors each year, whether or not it pays that income out.

Funds that have it are treated normally. Funds that do not are treated punitively.

What happens if your fund does not have it?

Your profit on sale is not a capital gain at all. It is an offshore income gain, charged to income tax at your marginal rate, so up to 45%.

No capital gains annual exempt amount to set against it
The dividend and savings allowances do not apply either
If the investment loses money, the relief is a capital loss, so it cannot be set against the income charge on the one that worked

Are any Indian funds actually on the list?

Yes, and more than the usual advice suggests. We parsed HMRC's published file and counted 18 parent funds across 69 share classes, including mainstream houses like DSP, HDFC, ICICI Prudential, Kotak and Quantum, and five GIFT City or IFSC funds. The full table is below.

Three things decide whether that helps you.

Status is per share class. Holding the wrong class of a listed fund gives you nothing.
Status runs from a date. Most Indian entries only appear from April 2025. A longer-held investment may have been non-reporting for part of its life, which is enough to taint the disposal.
Status can cease. At least one GIFT City class came off the list on 31 March 2026.

How do I check my own fund?

HMRC publishes the list as a searchable file, updated monthly. Find your exact share class, not just the fund name, and check the dates it covers.

Do it before you subscribe, and again before you sell.

Is reporting status simply better?

Better on exit, but not free.

A UK investor in a reporting fund must declare the fund's reported income every year, including the excess reported income it did not pay out. In an accumulating fund you can owe tax on money you have not seen.

For a long-term holder that is still the better trade. It just comes with an annual filing job you should price in.

What about a PMS rather than a fund?

A discretionary PMS is not a fund. You hold shares directly, in your own account, pooled with nobody. On that basis the offshore fund rules should not apply and your gains should be capital gains.

Two honest caveats. HMRC has published no guidance on managed accounts, so this is a well-supported reading rather than settled law. And every trade your manager makes becomes your own UK disposal, which is a real administrative burden. Ask whether they will give you UK-basis reporting.

Which Indian funds are on the list right now

We parsed HMRC’s own published file, all 1,24,141 share-class rows of it, and pulled out everything India-domiciled or GIFT City. As at 4 August 2026 there are 18 parent funds holding reporting fund status across 69 share classes. 5 of those parents are GIFT City or IFSC funds.

So “no Indian fund has reporting status” is simply wrong. But the list is short, most entries are recent, and one has already come off it.

Parent fund	Share classes	Reporting from	Status
3PIM India Equity (IFSC) FundGIFT / IFSC	6	01/04/2026	On the list
Aikyam India Discovery Fund	1	01/04/2026	On the list
Ashoka WhiteOak Capital India Opportunities GIFT FundGIFT / IFSC	1	01/04/2025	A class ceased 31/03/2026
Buoyant Capital AIF	7	02/11/2023	On the list
DSP Mutual Fund	2	01/04/2025	On the list
Equirus IFSC TrustGIFT / IFSC	7	01/04/2025	On the list
HDFC Mutual Fund	4	01/04/2025	On the list
ICICI Prudential Asset Management Company Limited	6	01/04/2025	On the list
ICICI Prudential Smart Navigator Fund (IFSC)GIFT / IFSC	2	03/02/2026	On the list
Invesco India Arbitrage Fund	1	01/04/2025	On the list
Invesco India Flexi Cap Fund	1	16/10/2025	On the list
Kotak Iconic Fund	8	01/04/2023	On the list
Kotak Optimus India Allocation Aggressive Scheme	3	01/04/2023	On the list
Kotak Optimus India Allocation Moderate Scheme	3	01/04/2023	On the list
Quantum Mutual Fund	6	01/04/2025	On the list
SageOne India Growth GIFT FundGIFT / IFSC	9	01/04/2025	On the list
Samarth Invest India	1	01/04/2025	On the list
Triton Fund - II	1	07/02/2025	On the list

Source: HMRC, approved offshore reporting funds, file dated 4 August 2026. Counted as Indian where the ISIN is Indian, or the fund name says GIFT or IFSC. Grouped by parent; “reporting from” is the earliest date across that parent’s classes.

Read this table with three cautions. Status belongs to a share class, not to the fund, so finding the name here is not the check. It runs from a date, and most Indian entries only start in April 2025, so a longer-held holding may have been non-reporting for part of its life. And it can cease— one class here came off the list on 31/03/2026. Always confirm your own class against HMRC’s current file before you buy or sell.

Common questions

Do any Indian funds hold HMRC reporting fund status?

Yes. As at 4 August 2026, 18 India-domiciled or GIFT City parent funds held it across 69 share classes, including mainstream Indian houses.

What happens without reporting status?

Your profit on sale is an offshore income gain, charged to income tax at up to 45% rather than as a capital gain, with no annual exempt amount.

Is status per fund or per share class?

Per share class, and from a stated date. Finding the fund name on HMRC's list is not the check; the class and its dates are.

Can a fund lose reporting status?

Yes. One GIFT City share class came off HMRC's list on 31 March 2026, which is why the date matters as much as the name.

Is reporting status simply better?

Better on disposal, but it brings an annual obligation to declare the fund's reported income, including amounts not paid out to you.

Sources

Next questions

The maintained list of Indian reporting funds →Reporting vs non-reporting: rate and loss relief →What counts as an offshore fund →NRIs in the United Kingdom →

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