Paasa is a global investing platform for Indian residents and NRIs, with shares held in your own name and the LRS, FX and tax paperwork handled for you. Interactive Brokers (IBKR) is the US broker holding those shares, and Indian residents can also open an IBKR account directly. Choose IBKR direct if you trade actively and handle FEMA and tax filing yourself. Choose Paasa for the same custody across global markets with the India work done for you.
How do Paasa and IBKR compare for US stocks at a glance?
Paasa and IBKR share the same custodian and markets, and differ on the India layer. The table is as of October 2026.
| Feature | Paasa | Interactive Brokers (IBKR) direct |
|---|---|---|
| What it is | Global investing platform built on an IBKR account | US broker. Indian residents open an account with Interactive Brokers LLC |
| Who holds your shares | Interactive Brokers LLC, in your own name | Interactive Brokers LLC, in your own name |
| Investor protection | SIPC up to $500,000 plus Lloyd's excess up to $30 million | Same cover |
| Markets | 10 markets, each in its home currency, 15,000+ tickers | Global exchanges. Indian residents may buy stocks, ETFs and bonds, not margin or derivatives |
| Minimum | $100 first deposit from an Indian bank | No account minimum |
| Brokerage | 0.10% plus $0.15 per order, min $0.50, max $50 | Per-share commission, Fixed or Tiered plan, with a per-order minimum and a percentage cap |
| Plan fee | Access $0 a month. Apex advisory fee from $50,000 | None, and no inactivity fee |
| Funding from India | LRS through partner banks HDFC, ICICI, Axis and Kotak at preferred rates, Form A2 pre-filled | LRS wire in USD you arrange at your bank |
| Tax reports | Schedule CG, FA, OS/FSI, Form 67, ITR-2 checklist, Form 1042-S | Activity statements and Form 1042-S on the calendar year. No Indian schedules |
| Advice and support | SEBI-registered advice and a relationship manager on Apex. App and web | Self-directed, global support. Trader Workstation, Client Portal, mobile and API |
What is Paasa, and what is Interactive Brokers?
Paasa is a global investing platform for Indian investors, built on Interactive Brokers. A Paasa account is an IBKR account opened in the investor's own name. Paasa adds Indian onboarding, LRS and FX support, INR tax reports and SEBI-registered advice.
Interactive Brokers (IBKR) is a US broker regulated by the SEC and FINRA. As of October 2026, Indian residents who sign up directly open an account with Interactive Brokers LLC, onboarded by Interactive Brokers (India) Pvt Ltd. The account is self-directed, so the investor does the FEMA, LRS and tax work.
Who holds my shares on Paasa and on IBKR?
The same custodian, Interactive Brokers LLC, holds the shares in both cases, in an account in your own name. Every Paasa client can log in to IBKR directly with read-only access, and can delink later to use IBKR alone. If Paasa ever shut down, the assets would stay at IBKR in the client's name.
Both accounts carry SIPC protection up to $500,000, including $250,000 for cash. IBKR adds Lloyd's excess cover up to $30 million per account. Neither cover protects against market losses. See how your money is held and protected with Paasa.
What does each cost on a US trade?
Paasa charges a percentage of trade value, and IBKR direct charges per share. Paasa's figures are from its pricing page, October 2026.
Paasa's Access plan has no monthly fee. US brokerage is 0.10% of trade value plus $0.15 per order, with a $0.50 minimum and a $50 maximum. A $2,000 order costs $2.15 and a $10,000 order $10.15. In-account currency conversion costs 0.03%, minimum $2, at the mid-market rate. Apex adds advice for 1% a year plus GST from $50,000, 0.7% from $100,000 and 0.5% from $500,000.
IBKR direct charges a per-share commission on US stocks, with a per-order minimum and a cap set as a percentage of trade value, plus a conversion commission with a minimum. Per-share pricing can cost less on large orders in high-priced shares, so compare both for your trade size with Paasa's brokerage calculator. On either route the bank's INR-to-USD conversion is usually the largest cost (all-in cost comparison).
How do I send money from India to Paasa or IBKR?
Both are funded the same way, with an LRS remittance from your Indian bank. The RBI lets each resident remit up to USD 250,000 per financial year (RBI). Tax Collected at Source (TCS) applies at 20% on investment remittances above ₹10 lakh in a financial year (Income Tax Department TCS rates). TCS is not a fee. It is adjusted or refunded when you file your return.
With Paasa, partner banks HDFC, ICICI, Axis and Kotak offer preferred FX rates, and Paasa does not charge or earn on FX. Paasa pre-fills Form A2 and Forms 15CA/CB and tracks your LRS usage. With IBKR direct, you arrange the USD wire and Form A2 yourself, at the bank's card rate unless you negotiate it. Paasa's LRS guide and TCS guide cover the steps.
Which markets and products can I buy on each?
Both reach the same exchanges, because Paasa trades through IBKR. Paasa covers 15,000+ tickers across the US, UK, Switzerland, Germany, France, Netherlands, Hong Kong, Japan, Canada and Singapore, each in its home currency, with UCITS ETFs in whole units or fractions, SIPs from the wallet, and market, limit, stop and trailing-stop orders.
IBKR direct opens more exchanges and products, within what LRS allows. Indian residents may buy stocks, ETFs and bonds abroad but not margin products or derivatives, since the RBI does not permit LRS remittances for margins. For a long-term investor the universe is similar on both.
What do I get at tax time from Paasa and from IBKR?
Paasa sends ready-to-file Indian reports, and IBKR direct sends US-format statements. Each financial year, Paasa provides Schedule CG, FA and OS/FSI, Form 67, an ITR-2 checklist and Form 1042-S, all in INR. Gains are split into STCG (24 months or less, slab rate) and LTCG (over 24 months, 12.5%). Paasa's capital gains guide, Schedule FA guide and Paasa Tax cover the details.
IBKR direct provides activity statements and Form 1042-S on the calendar year. IBKR does not compute Indian STCG or LTCG, convert to INR or produce Schedule FA peak-balance values. You or your CA build those from the statements.
What is day-to-day use like on Paasa and on IBKR?
Paasa is built for long-term investors, and IBKR direct for traders. Paasa's app and web dashboard show holdings, INR gains and tax reports in one place. Paasa's team answers by email and WhatsApp on weekdays, and Apex clients get a relationship manager.
IBKR direct offers Trader Workstation, Client Portal, IBKR Mobile and an API, with far more trading tools. Its support is global and self-serve, not set up for India-specific banking or tax questions.
When is IBKR direct the better choice?
IBKR direct may suit you better than Paasa if:
- You trade actively and want Trader Workstation, an API or advanced order types.
- You already handle LRS, FEMA declarations and your ITR schedules yourself.
- You want markets or products beyond Paasa's list, within what LRS permits.
- You place large orders in high-priced shares, where per-share pricing can beat a percentage.
Should I choose Paasa or IBKR?
Choose Paasa for IBKR custody across global markets with the India work done for you. Choose IBKR direct for a trading terminal and to do that work yourself.
| If you want… | Better fit |
|---|---|
| Indian tax reports with Schedule FA values ready | Paasa |
| LRS forms pre-filled and partner-bank FX | Paasa |
| Advice and a relationship manager from $50,000 | Paasa (Apex) |
| To diversify RSUs held at a US broker | Paasa |
| Trader Workstation, API access or very high trade volumes | IBKR direct |
| To do your own FEMA and tax filing and pay per share | IBKR direct |
Already on IBKR direct? Email support@paasa.com and Paasa links the existing account, with holdings kept as they are. Either way your shares sit at Interactive Brokers LLC. The choice is who does the India work.
How does Paasa help investors using IBKR from India?
- Paasa opens the IBKR account in your own name, with SIPC and Lloyd's excess protection.
- Paasa pre-fills LRS paperwork and arranges preferred FX rates through partner banks.
- Paasa sends Schedule CG, FA, OS/FSI and Form 67 every financial year.
Why Indian investors choose Paasa over IBKR direct covers each of these in more depth.
Disclosures
Advisory services are offered by Arc Spire Advisory Private Limited, a SEBI Registered Non-Individual Investment Adviser, INA000021058. Investment in securities market are subject to market risks. Read all the related documents carefully before investing. This article is not tax advice. Consult a qualified tax adviser for your situation.
