IFSC Notifies TechFin & Ancillary Services Regulations 2025

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IFSC TechFin Regulations 2025 Ancillary Services IFSCA

Circular No. IFSCA-GIC/1/2024-CM, Dated: 31.07.2025

IFSC Authority Issues TAS Regulations, 2025

The International Financial Services Centres Authority (IFSCA) has introduced the TechFin and Ancillary Services (TAS) Regulations, 2025, with immediate effect. These regulations aim to streamline the regulatory framework for TechFin and related ancillary service providers operating within IFSCs, aligning them with evolving technological and financial innovations. The move is part of the Authority’s broader strategy to promote innovation while ensuring regulatory clarity and supervision.

Application and Registration Fee Requirements

Under the new framework, all new applicants intending to offer services under TAS Regulations must now submit an application fee of USD 1,000, along with a one-time registration fee of USD 2,500. This change reflects the Authority’s efforts to standardize entry costs while maintaining transparency and accessibility. The regulation emphasizes a structured onboarding process for new entities seeking to operate within the IFSC ecosystem.

Transition Provisions for Existing and Pending Applications

Entities that had submitted applications under previous frameworks need not worry about additional compliance costs. The IFSCA has clarified that pending applications will be evaluated under the TAS Regulations, 2025, without any extra charges. Moreover, existing registered entities must ensure a complete transition to the new framework within 12 months from the date of notification. This transition period allows ample time for compliance and operational adjustments.

Permitted and Prohibited Activities under TAS

The TAS Regulations specify a comprehensive list of activities that may be undertaken by registered entities. These include 27 approved ancillary services such as back-office operations, KYC utilities, and business continuity services, as well as 23 TechFin services involving advanced financial technologies and digital infrastructure support. However, entities are strictly prohibited from engaging in core regulated financial services, such as banking, insurance, and asset management, which remain under separate regulatory purview.

Click Here To Read The Full Circular 

 

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Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.

The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:

  • The statutory material is obtained only from the authorized and reliable sources
  • All the latest developments in the judicial and legislative fields are covered
  • Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
  • Every content published by Taxmann is complete, accurate and lucid
  • All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
  • The golden rules of grammar, style and consistency are thoroughly followed
  • Font and size that's easy to read and remain consistent across all imprint and digital publications are applied