Immigration

India | Impact of the Immigration and Foreigners Act, 2025

Summary

On 1 September 2025, the Immigration and Foreigners Act, 2025 (‘New Act’) came into effect which regulates matters related to foreigner nationals and visas, strengthens national security measures, enhances accountability in immigration procedures, and prescribes stricter penalties for violations. To support the New Act, the Ministry of Home Affairs has also published in the Official Gazette ‘The Immigration and Foreigners Rules 2025’ (‘Rules’) and other prescribed rules.

The detail

1. Objective of the New Act

• Establish a unified legal framework in place of the following laws:
  • The Passport (Entry into India) Act, 1920;
  • The Registration of Foreigners Act,1939;
  • The Foreigners Act, 1946; and
  • Immigration (Carriers’ Liability) Act, 2000.
• Regulate entry, stay, and departure of foreign nationals in India and strengthen immigration law framework and enforcement by empowering the Bureau of Immigration and designated authorities and officers.
• Incorporate provisions to:
  • Prevent, investigate, address violations of immigration laws and removal of foreign nationals.
  • Enforce compliance and penal provisions:
    • For airlines, shipping companies, transport operators, hospitals, Universities and Educational Institutions (specified institutions) and ‘keepers of accommodation.’
    • Related to unauthorized entry, overstaying, and non-compliance for the foreigners as well as employers and abettors.
    • Compounding offences and framework for appeals against penalties in certain situations.

2. Impact on foreign nationals staying in or travelling to India

• Registration and reporting requirements
  • Foreign nationals, as well as keepers of accommodation and specified institutions will need to comply with registration and reporting requirements with the Registration Officer of that area upon arrival in India. Conditions for registration and reporting are to be specified in the prescribed Rules.
  • Foreign nationals will need to submit necessary information and documents to keepers of accommodation and specified institutions. These accommodation providers and specified institutions are mandated to report details about foreign nationals to the authorities, enabling appropriate monitoring and accountability.
• Penal provisions for visa and documentation compliance

Foreign nationals entering India must ensure they hold a valid Indian visa and travel documents. Some of the offences and penalties have been listed as follows:

Offence	Penalty
Entering India without valid travel documents (such as a passport or Indian visa)	Imprisonment up to 5 years, fines up to ₹5 lakh, or both
Staying in India without a valid visa or passport or violating visa conditions whilst in India	Imprisonment up to 3 years, fines up to ₹3 lakh, or both
Using forged or fraudulently obtained passports, visas, or travel documents	Imprisonment between 2 to 7 years and fines between ₹1 lakh to ₹10 lakh

3. Impact on organisations and institutions

• Increased responsibility for compliance:

The regulations governing organisations and institutions that invite foreign nationals have become more stringent, with heightened accountability and stricter compliance obligations.

• Record-keeping and reporting obligations:

Organisations inviting foreign nationals to India must maintain detailed records of these foreign nationals and may have to provide information to the authorities upon request.  Failure to provide accurate or timely information could lead to financial penalties or other consequences.

• Consequences of abetting violations:

Organisations or institutions or its representatives, who knowingly assist foreign employees in violating immigration laws may face the same penalties as the employee specified above.

What does this mean for employers 

The New Act introduces stricter compliance requirements for foreign nationals travelling to or staying in India and the conduct of their activities must be monitored by the inviting organization or institution. Organisations or institutions will need to ensure accurate reporting of foreign nationals’ details to authorities. Both foreign nationals and the organisations hosting them should carefully verify visas and work permits to avoid potential penalties.

Contact us

Vialto Partners provides comprehensive tax solutions, immigration services, compensation & rewards and dynamic work strategy & services to clients. For a deeper discussion on the above, please do reach out to your usual Vialto Partners contact or alternatively:

Ishita Sengupta
India Lead / Mumbai

Sundeep Agarwal
Mumbai

Ravi Jain
Bengaluru / Kolkata

Anand Dhelia
Bengaluru / Hyderabad

Chander Talreja
Delhi NCR

Hitesh Sharma
Mumbai / Pune

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