India’s foreign portfolio investor (FPI) onboarding framework is set for a revision, with changes to the common application form (CAF) likely to be introduced to align with the new PAN application regime coming into force from April 1, according to people familiar with the development.
The move follows the notification of revised PAN application Forms 95 and 96 by the Income Tax Department under the new Income-tax Rules, 2026, replacing the existing forms used by foreign investors to obtain a Permanent Account Number.
“A SEBI working group has finalised the changes to the CAF. The changes are expected to be brought in through a gazette notification soon,” a source aware of the discussions said.
Apart from changes required to reflect the new PAN framework, the revised CAF also incorporates suggestions from the Custodians and DDP Standards Setting Forum (CDSSF), sources said.
The CAF serves as a single-window document for FPIs, integrating registration with the Securities and Exchange Board of India, PAN allotment, and the opening of bank and demat accounts. Introduced to streamline market entry, it consolidated multiple regulatory and procedural requirements into a unified onboarding framework.
Emailed queries sent to SEBI did not elicit a response.
While the tax changes take effect from April 1, there is no formal transition window in place for the revised CAF. “There is nothing specified in writing on a transition period, though the tax department has indicated informally that applications may be accepted in the existing format for a few days,” another source said.
“The idea is to ensure a smooth shift to the new PAN system without disrupting investor onboarding,” the source added.
The development comes months after SEBI streamlined the use of digital signatures within the CAF process, part of broader efforts to ease compliance and improve operational efficiency for overseas investors.
The current CAF format was introduced as part of the revamped FPI framework notified in 2020, aimed at simplifying market entry by consolidating multiple application processes into a single form. Since then, the regulator has made incremental changes to streamline onboarding, including enabling and subsequently digitising the use of electronic signatures for documentation.
In the absence of formal alignment, custodians and designated depository participants handling FPI registrations may need to make short-term procedural adjustments.
Published on March 29, 2026
