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DPDP ACT, 2023 · COMPLIANCE GUIDE

Everything Indian enterprises need to know about the DPDP Act.

15 areas. 90 days. One source of truth.

A practical guide covering all 15 obligation areas, penalties up to ₹250 Cr, a 90-day compliance roadmap, and how DPDP differs from GDPR.

12 min readUpdated May 2026By Sammati's DPDP team
READINESS SCORE
v1.2
68/ 100
PARTIALLY COMPLIANT
Foundation82%
Data Lifecycle65%
Rights & People71%
Operations54%

What is the DPDP Act? And who needs to comply.

India's primary data protection law, in plain English — what it requires, who it applies to, and how it's enforced.

WHAT IT IS

India's primary data protection law.

Enacted in August 2023, the Digital Personal Data Protection Act governs how organisations collect, process, store, and delete digital personal data of Indian residents.

ROLE 01

Data Fiduciary

Organisations that decide why and how personal data is processed.

ROLE 02

Data Principal

Individuals whose data is collected, processed, or stored.

§
ENFORCEMENT

Enforced by the Data Protection Board of India (DPBI), with authority to investigate, adjudicate, and impose penalties.

MAX PENALTY
₹250 Crper violation — board-level priority for any Indian fiduciary.
WHO MUST COMPLY

Any organisation processing data of Indian residents.

Regardless of where your organisation is headquartered.

  • Indian companies processing customer, employee, or partner data digitally
  • Foreign companies offering goods or services to Indian residents
  • Banks, NBFCs, insurance firms, and other BFSI entities
  • Healthcare providers and healthtech platforms
  • E-commerce, retail, and logistics companies
  • SaaS and technology platforms with Indian users

+ Significant Data Fiduciaries (SDFs)

ADDITIONAL OBLIGATIONS

Organisations designated as SDFs face additional duties: mandatory DPO, periodic DPIAs, external audits, and potential data localisation.

15 obligations, grouped into 4 pillars.

Don't read 15 cards in a row. Read 4 pillars first — see how your work splits. Then drill into the obligations that affect you.

I
PILLAR IFoundation
3areas
01

Governance & Accountability

Appoint responsible persons, establish policies, maintain records of processing.

03

Notice & Consent

Clear privacy notices; free, specific, informed, unconditional, unambiguous consent.

11

Significant Data Fiduciary obligations

If designated as SDF: mandatory DPO, DPIA, periodic audits, data localisation.

II
PILLAR IIData Lifecycle
5areas
02

Data Discovery & Inventory

Map all personal data flows, classify by sensitivity, maintain inventory.

06

Security Safeguards

Technical and organisational measures to prevent unauthorised access.

09

Retention & Erasure

Erase when purpose ends or consent withdrawn; implement automated schedules.

08

Personal Data Breach Management

Detect, contain, and notify the DPB and affected principals promptly.

10

Cross-Border Data Transfers

Transfers permitted unless restricted by Central Government order (Rule 15); SDFs may face localisation of specified data (Rule 13(4)).

III
PILLAR IIIRights & People
4areas
04

Data Principal Rights

Enable access, correction, erasure and grievance. Grievance redressal within ≤90 days (Rule 14(3)); set your own SLA for the others.

05

Children & Persons with Disabilities

Verifiable parental consent for minors; avoid processing that harms children.

07

Processor & Vendor Management

Conduct due diligence; bind processors via Data Processing Agreements.

12

Grievance Redressal

Publish a grievance mechanism and resolve complaints within ≤90 days (Rule 14(3)).

IV
PILLAR IVOperations
3areas
13

Exemptions & Special Cases

Understand exemptions for national security, research, legitimate uses.

14

Enforcement & Penalties

Understand DPB adjudication, appeal processes, penalty schedules.

15

Monitoring & Continuous Improvement

Maintain a compliance calendar; conduct periodic internal audits.

Map your organisation against all 15 areas with our free DPDP self-assessment.

Take the assessment

What it costs to get it wrong.

The Data Protection Board of India can impose substantial penalties. The bars below are scaled to the maximum penalty for each violation type.

VIOLATION TYPE

Maximum penalties by category

SevereHighMediumLow

Inadequate security safeguards → personal data breach

SEVERE
₹250 Cr

Failure to notify the Board of a breach

HIGH
₹200 Cr

Non-compliance with children's data obligations

HIGH
₹200 Cr

Non-compliance with additional SDF obligations

MEDIUM
₹150 Cr

Non-compliance with other provisions of the Act

LOW
₹50 Cr

Obstruction of the Board's functions

₹10 Cr

The Board also has powers to direct Data Fiduciaries to delete personal data, block non-compliant services, and refer egregious cases for criminal prosecution.

From sign-off to compliant — in 90 days.

A practical three-phase plan. Three phases, fourteen tasks. Each phase builds on the last.

01
DAYS 1–30Assess & Discover

Find out where you stand.

1Complete the DPDP self-assessment across all 15 areas
2Map all personal data flows and processing activities
3Identify high-risk processing and SDF exposure
4Appoint a Grievance Officer (mandatory for all fiduciaries)
02
DAYS 31–60Design & Build

Put the rails in place.

1Draft and publish DPDP-compliant privacy notices
2Implement consent management (collect, record, withdraw)
3Build data principal rights workflows (access, erasure, correction)
4Update vendor agreements with DPA clauses
03
DAYS 61–90Test & Operate

Prove it works under audit.

1Run breach detection and notification playbook tabletop
2Implement data retention schedules and erasure automation
3Conduct internal audit with findings tracking
4Train staff on DPDP obligations and incident response

Need help with your roadmap?

Sammati provides end-to-end DPDP advisory — legal, operational, and technical — in one engagement.

View advisory services

Already GDPR-compliant? Here's what changes under DPDP.

Most Indian organisations have GDPR-aligned processes. The table below shows where DPDP follows the same shape — and where you'll need new work.

TOPICDPDP ACT, 2023INDIAGDPREU

DPO Requirement

↓ Looser
Only for Significant Data FiduciariesBroader — for public bodies and large-scale processing

DPIA Requirement

↓ Looser
Required only for SDFsRequired for high-risk processing by all controllers

Maximum Penalty

≠ Different
₹250 Cr per breach4% global turnover or €20M, whichever is higher

Data Localisation

↑ Stricter
Possible for SDFs via Central Govt notificationNo explicit data localisation requirement

Right to Portability

↓ Looser
Not explicitly includedExplicitly included

Automated Decisions

↓ Looser
Not explicitly coveredArticle 22 — explicit protections

Consent Standard

↑ Stricter
Free, specific, informed, unconditional, unambiguousFreely given, specific, informed, unambiguous

Children's Data

↑ Stricter
Verifiable parental consent; age threshold TBDAge 16 (or lower by member state); parental consent
How to read this:↑ StricterDPDP raises the bar↓ LooserDPDP relaxes the bar≠ DifferentStructurally different

Frequently asked questions

What is the DPDP Act 2023?

The Digital Personal Data Protection Act, 2023 is India's primary data protection law, enacted in August 2023. It governs how organisations collect, process, store, and delete digital personal data of Indian residents.

Who must comply with the DPDP Act?

Any organisation (Data Fiduciary) that processes digital personal data of individuals in India must comply, regardless of where the organisation is headquartered.

What is the maximum penalty under the DPDP Act?

The DPDP Act prescribes penalties up to ₹250 crore per breach, imposed by the Data Protection Board of India.

Is a Data Protection Officer (DPO) mandatory under the DPDP Act?

A DPO is mandatory only for Significant Data Fiduciaries (SDFs). Other Data Fiduciaries must appoint a grievance officer.

What are the 15 DPDP obligation areas?

The 15 obligation areas are: 1) Governance & Accountability, 2) Data Discovery & Inventory, 3) Notice & Consent, 4) Data Principal Rights, 5) Children & Persons with Disabilities, 6) Security Safeguards, 7) Processor & Vendor Management, 8) Personal Data Breach Management, 9) Retention & Erasure, 10) Cross-Border Data Transfers, 11) Significant Data Fiduciary obligations, 12) Grievance Redressal, 13) Exemptions & Special Cases, 14) Enforcement & Penalties, 15) Monitoring & Continuous Improvement.

How is the DPDP Act different from GDPR?

Key differences include DPO scope, DPIA requirements, penalty structure (₹250 crore vs 4% global turnover), data localisation rules, right to portability, automated decision-making, consent standard (DPDP adds 'unconditional'), and children's data protections.

What is a Significant Data Fiduciary under DPDP?

A Significant Data Fiduciary (SDF) is an organisation designated by the Central Government based on volume and sensitivity of data processed, risk to data principals, and national security implications. SDFs face additional obligations: mandatory DPO, periodic audits, DPIAs, and data localisation requirements.

Find out your DPDP readiness score.

Take the free self-assessment — 62 questions across all 15 obligation areas. Get your score and top priority gaps in under 12 minutes.