Company Registration

COMPANIES FRESH START SCHEME, 2020 (CFSS-2020)

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The Central Government in the exercise of powers have introduced the COMPANIES FRESH START SCHEME, 2020 (CFSS-2020), It shall facilitate the companies registered in India to make a fresh start. This scheme aims at providing a one-time opportunity to enable defaulting companies to complete their pending compliances by filing necessary documents in the Ministry of Corporate Affairs including annual filings forms, other returns, documents and statements without paying additional fees on an account of delay and to avail immunity from the launching of prosecution or proceedings for imposing a penalty on account of delay associated with certain filings. In other words, defaulting companies shall require to pay only normal fees for filing of the above-mentioned delayed documents during the currency of CFSS-2020.

  •  APPLICABILITY:

This Scheme shall be applicable to any “Defaulting Company”, Defaulting Company here  means any company which made a default in filing of any of the documents, statement, returns, etc. including annual statutory documents on the MCA-21 registry on due time and under this scheme is permitted to file all belated documents which were due for filing without any Additional Fees except for two documents and out of which, some permitted documents are as follows:

  •  Annual Forms:
  •  Event-based Forms:
    • INC-22A (Active Company Tagging Identities and Verification)
    •  INC-20A (Declaration for the commencement of business)
    • PAS-3 (return of Allotment)
    •  ADT-1 (Appointment of Auditor)
    •  MGT-14 (Filing of Resolutions and agreements to the Registrar)
    • DIR-12 (Particulars of appointment of Directors and the key managerial personnel and the changes among them)
  • Two Exceptions which is out of the purview of this Scheme:
    •   Increase in Authorised Share Capital (SH-7)
    •  Charger related documents (CHG-1, CHG-4, CHG-8, and CHG-9)
  • SCHEME VALIDITY: The Scheme shall come into force on 01st April 2020 and shall remain in form till 30th September 2020.

Read More Blogs: Types of Business Entities in India

  • BENEFITS OF SCHEME
    • One-time opportunity to enable defaulting companies to complete their pending compliances regarding: annual filings forms, other returns, documents and statements without paying any additional fees. 
    • Immunity Certificate to save from launching of prosecution or proceedings for imposing a penalty on account of delay associated with such filings.
  •  PROCEDURE TO AVAIL BENEFITS AND IMMUNITY IN RESPECT OF DOCUMENT(S) FILED UNDER THE SCHEME: 
    • STEP 1. File all pending forms, documents, returns, statements, etc. as mentioned above with the MCA-21 registry during the currency of the Scheme without paying any additional fees.
    • STEP 2. File Form CFSS-2020 for seeking immunity in respect of belated documents filed under the scheme, after the closure of scheme and after the documents are taken on file or on record or approved by the designated authority as the case may be but not after the expiry of six months from the date of closure of the scheme. 
    • STEP 3. An immunity certificate in respect of documents filed under this scheme shall be issued by the designated authority. 
  • SCHEME FOR INACTIVE COMPANIES
    The defaulting inactive companies, while filing due documents under CFSS-2020 can, simultaneously, either:
    (a) Apply to get themselves declared as Dormant Company under section 455 of the Companies Act, 2013 by filing e-form MSC-1 at a normal fee on the said form; or
    (b) Apply for striking off the name of the company by filing e-form STK-2 by paying the fee payable on form STK-2. 

Read Other Blogs: New procedure of company incorporation

  • NON APPLICABILITY OF CFSS SCHEME:
    •  To Vanishing Companies.
    •   Companies against which action for final notice for striking off the name u/s 248 of the act have already been initiated by the Designated Authority.
    • Companies that have already filed STK-2 for strike off of Company with ROC.
    • Companies that have amalgamated.
    • Companies that have already filed an application for obtaining Dormant Status.
    • A company having any appeal which is pending before the Court of law.
    • A company having management disputes and pending before any Court of law or Tribunal.
    • Companies which are convicted by any Court in any matter and no appeal has been preferred against such orders of the Court before this Scheme has come into force
    •  Companies upon which an order passed for imposing penalty by an adjudicating authority under the Act and no appeal has been preferred against such orders of the Adjudicating Authority before this Scheme has come into force.

PROTIP: In such challenging times the Ministry has given all Companies an additional chance to make their default good. Therefore it is advisable to take full advantage of the scheme and strive towards becoming compliant.

online Startup registration in India

7 BENEFITS OF ONLINE STARTUP REGISTRATION IN INDIA

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Startups are like bright sunshine for the Indian economy. They are not just taking the economy forward but also they are inculcating the concept of innovation in the business environment.

The startup is a newly established business that is in its early stage with a different/unique product or service. What differentiates it from the regular business is the element of innovation they possess. This Startup either comes up with a new product or redevelops an existing product/service into something better.

POTENTIAL STAGES IN A STARTUP

PRE-STARTUPSTARTUPGROWTH
Discovery: Identify a potential/quantifiable product or service for target market.   Validation: once the product hits the market & sale process is on.Efficiency: Design business model in such a way that it increases your customer base.   Scale: Pushing the capacity of the business to ultimately increase the growth of business in a sustainable manner.Maintenance: maximising the benefits of the company even during the tough times like economic slowdown.   Sale/renewal: decision to sell the business to some big brand or inculcate huge resources that will help your enterprise to continue.

Potential benefits of online Startup registration in India are:

Financial Benefits

Most of the startups are patent-based. It means they produce or provide unique items or services. In order to sign in their patents, they ought to incur a heavy fee which is called the Patent Cost.

Under this scheme, the authorities give an 80% rebate at the patent costs. Moreover, the technique of patent registration and related is easier for them as compared to full-fledged companies. Also, the government can pay the prices of the facilitator to acquire the patent.

Income Tax Benefits

Under the Income Tax head, Startups receive multiple tax exemptions. For example, the Income-tax department has exempted Startups (incorporated between 1st April 2016 to 1st April 2021) to pay Income tax up to 3 consecutive financial years out of the first 10 years of its incorporation.

But they are able to avail it handiest upon getting certificates from the Inter-Ministerial Board. Also, they are able to declare exemption from tax on Capital Gains if they make investments cash in designated funds.

Registration Benefits

Everyone believes that incorporation and registration of business are ways harder than going for walks it. It is due to the long and complicated steps of registration.

With the help of the Startup India scheme, an application for online startup registration in India can be arranged. A single meeting is organized on the Start-up India hub. Also, there’s an unmarried doubt and problem-fixing window for them.

Government Tenders

Under the government e-tendering scheme, these startups get priority in getting government authorized tenders. Also, they may be not required to have any prior experience. To boost up the motivation, morale and make a business-friendly environment for the online Startup registration in India, the government is planning to ease out the compliance norms for Startup registrations.

Huge Networking Opportunities

There are immense networking opportunities for startups to meet with people from other startups, incubators, angel investors, venture capitalists, legal advisors, and tax advisors, and so on. Annual startup fest organized by various governments makes this section more attractive since it opens up various opportunities for businesses to diversify. Startup India scheme started by the Government of India provides intellectual property rights awareness workshop for those startups registered on their portal. 

Cost Reduction

The government also provides lists of facilitators of patents and trademarks. They will provide high-quality Intellectual Property Rights Services including a fast examination of patents at a much lower fee. The government will bear all facilitator fees and the Startups will bear only the statutory fees. A considerable reduction in patent filing costs will boost the online Startup registration culture in India.

Access to funds

To further give a boost to Startup a 10,000 crore rupees corpus is set-up by the government of India to fund these Startups as a venture capitalist.  The government is also giving a guarantee to the lenders to encourage banks and other financial institutions for providing security free capital to these Startups.

FREQUENTLY ASKED QUESTION [FAQ’s]

What is the process of online Startup registration in India?

S. NOPROCEDUREDEPARTMENT
1Director Identification Number (DIN) applicationMinistry of corporate affairs (MCA)
2Get an online Digital Signature Certificate (DSC)Ministry of corporate affairs (MCA)
3Reserve your Business nameRegistrar of companies (ROC)
4MOA, AOA, Company stamping documentsState Treasury or Authorised bank
5Incorporation certificateROC or MCA
6Obtain Permanent Account Number (PAN)NSDL or UTIITSL
7Obtain Tax Account Number (TAN)Income Tax Department
8Office, shops & establishment act registrationMunicipal office
9GST Registrationhttps://www.gst.gov.in/
10Register for Provident fundEmployment provident fund organization
11Medical Insurance registrationEmployment state insurance organization

What are some of the important factors to be considered during the process of online Startup registration in India?

  • Cost of business
  • Demand/supply
  • Market demographics
  • Market size
  • Location
  • Startup registration
  • Compliance
  • Competitors analysis
  • Return on investment (ROI)

How much is the cost of online Startup registration in India?

  • There is no fixed cost in India. As a result, it is difficult to pinpoint the exact cost of registering an online startup in India. The cost of online Start-up registration varies from business to business and it depends on various licenses and permissions required to operationalize your business.

How can I get funding for online Startup registration in India?

  • Finding the funding for your Startup is the most challenging part and it is the primary stage to bring your innovative idea into reality. Some of the most opted out options of funding for online Startup registration in India are:
  • Business incubators & accelerators
  • Bootstrapping i.e. Self-financing
  • A loan from the commercialised bank
  • NBFC financial assistance
  • Venture capitalist
  • Crowd-funding
  • Angel investor

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NEW TDS RATES

NEW TDS RATES EFFECTIVE FROM 14TH MAY 2020. HERE IS THE LIST OF MOST COMMON HEADS!

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File TDS Return Online

SECTIONNATURECURRENT (TILL 13TH MAY)RATE EFFECTIVE FROM 14TH MAY 2020 TO 31ST MARCH 2021
194 JPayment of Professional Fees etc.10 % *in certain cases like royalty, technical service fees rate is 2%7.5 *in certain cases like royalty, technical service fees rate is 1.5%
194 CPayment of Contractors and sub-contractors1% (individual/HUF) 2% (others)0.75% (individual/HUF) 1.5% (others)
194 I(a)Rent for plant and machinery2%1.5%
194 I(b)Rent for immovable property10%7.5%
194 I APayment made while purchasing land or property1%0.75%
194 I BPayment of rent by individual or HUF exceeding Rs. 50,000 per month5%3.75%


194 A		Interest other than Interest on Securities e.g. Fixed deposit interest10%7.5%
194 B 194 BBWinnings from lottery, crosswords or any sort of game OR HORSE RACES30%30%
194 HCommission or brokerage received except for Insurance Commission5%`3.75%
194 MPayment made to professional or commission or brokerage of more than Rs 50 lakh and above5%3.75%

You can see the detailed press release by Gov. here https://www.incometaxindia.gov.in/Lists/Press%20Releases/Attachments/834/Press-Release-Reduction-in-TDS-TCS-Rates-dated-14-05-2020.pdf

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What Is The Impact Of Change In MSME Definition?

What Is The Impact Of Change In MSME Definition?

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The industry was waiting for definition change in MSME for quite a long time. As there was fear among MSME that if they grow in terms of number, they might lose the title of being MSME and lose benefits of Government provided for MSME. So it is great news for the MSME sector which is one of the most important sectors in the Indian Economy.

MSME will no longer have to worry that growing in number might make them ineligible to avail MSME benefits. Earlier there was classification between service industries and manufacturing industry, now it has been removed- both will be the same. Earlier, the MSMEs were defined on the basis of investments they put, now the revised definitions will also include turnover of the company, this will be notified once changes in the law are made.

Let’s See What Exactly The Change In MSME Definition Is:

 Micro Units


REVISED: Investments up to Rs 1 crore and turnover of less than Rs 5 crore for both service and manufacturing

EARLIER: Investment up to Rs 10 lakh for Service sector MSMEs and investment up to Rs 25 lakh for the manufacturing sector MSME

MSME REGISTRATION At The LOWEST PRICE !! Call @ (0120) 4231116


Small Units


REVISED:  Investment the limit is between Rs 10 crore and turnover of fewer than 50 crores for both service and manufacturing

EARLIER: Investment between up to Rs 5 crore for the manufacturing sector MSME and investment up to Rs.2 crore for service sector MSME.

Medium Units

REVISED: Investments limit is up to Rs 20 crore and turnover of less than  Rs 100 crore for  both service and manufacturing

EARLIER: Investment up to Rs 10 crore for manufacturing sector MSME and investment up to Rs.5 crore for service sector MSME.

As Government has already pushed make in India initiative, it is expected that people will grab opportunities of the same in the coming days.

List Of The Schemes Of The Ministry Of MSME

The Ministry of MSME has several schemes for MSME which aims to provide credit and financial assistance, skill development training, infrastructure development, marketing help, technological and quality up-gradation, and other services for the MSMEs in India. Below are some of the important schemes by the Ministry of MSME

 Credit And Financial Assistance:

1. Prime Minister’s Employment Generation Programme

2. Credit Linked Capital Subsidy Scheme (CLCSS)

3. Credit Guarantee Trust Fund for MSEs (CGTMSE) – Provision of collateral-free credit for MSMEs

Skill Development And Training

1. A Scheme for Promotion of Innovation, Rural Industry & Entrepreneurship (ASPIRE)

2. Entrepreneurship and Skill Development Programmes (ESDP)

Infrastructure

1. Scheme of Fund for Regeneration of Traditional Industries (SFURTI)

2. Scheme for Micro & Small Enterprises Cluster Development Program (MSE-CDP)

Marketing Assistance

1.      Scheme for providing financial assistance to Khadi institutions under MPDA

Technology Upgradation And Competitiveness

 1. Financial Support to MSMEs in ZED certification

2. Support for Entrepreneurial and Managerial Development of SMEs through Incubators

 Other Services

1. National Scheduled Caste and Scheduled Tribe Hub

2. Building Awareness on Intellectual Property Rights (IPR) for MSMEs

Source: MSME Annual Report 2018-19, Ministry of MSME

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How to e-file form 15CB

HOW TO E-FILE FORM 15 CA/CB ONLINE

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Procedure to File & View Form 15CA & 15CB – Step by Step 

To regularize the payments and to check any illegal foreign money transfers, time and again the government of India came up with various measures, and e-file form 15CA/CB is one of them.

What is Form 15CA?

Form 15CA is a formal declaration made by the remitter and this is used for collecting data in respect of payments made which might be chargeable to income tax. This system of information processing by the Income tax Department to identify the foreign money transfers in the primary stage helps to keep a check on tax evasion activities.

As per rule 37BB, form 15CA is to be filed if the remittance is chargeable to income tax under the income tax act, 1961 and the amount does not exceed INR 5 lakh during the financial year.

Form 15CA contains the information of your remittances to a non-resident not being a company.

How to e-file Form 15CA?

1.     Visit the income tax e-filing platform [https://www.incometaxindiaefiling.gov.in/home]

2.     Log-in using your unique credentials.

3.     Click on the E-file tab of the top right corner and then tap on Income tax forms.

4.     Choose form 15CA from the drop-down bar.

5.     Fill-up form 15CA and then click on submit.

NOTE:

·        Check pre-filed PAN details before submitting them.

·        Mandatory to submit Form 15CB prior to form 15CA.

·        Acknowledgment no. of form 15CB needs to be filed in form 15CA.

*Do not have time and don’t want to take a headache. Here is the affordable online solution https://www.caonweb.com/15ca-15cb-certificate.php

What is Form 15CB?

A chartered accountant plays an important role in the completion of Form 15CB. Form 15CB needs to be signed by the certified chartered accountant. This certifies that the documents are being assessed by the chartered accountant and the taxes are being paid on the aforesaid Income. Certain details are required from Form 15CB at the time of submitting Form 15CA.

How to e-file form 15CB?

Form 15CB requires a chartered accountant to verify details and certify. You can reach out to online CA Services to get your form 15 CB certificate. The best way for instant response, affordable and  great service is to make a request here https://www.caonweb.com/15ca-15cb-certificate.php

PAYMENTS WHERE E-FILE FORM 15CA/CB IS NOT REQUIRED?

1.     Indian investment abroad:

·        Branches and wholly-owned subsidiaries

·        Subsidiaries and associates

·        Equity capital (shares)

·        Debt securities

·        Real estate

2.     Remittances:

·        Donations to religious and charitable institutions abroad

·        Towards family maintenance and-savings

·        Personal gifts and donations

·        Payment or refund of taxes

·        Foreign embassies in India

·        Business travel

3.     Travel

·        Basic travel quota (BTQ)

·        Medical treatment

·        Pilgrimage

·        Education

4.     Operating expenses of Indian Airlines/shipping companies operating abroad

5.     Refunds or rebates or reduction in invoice value on account of exports

6.     Payments made during international bidding.

7.     Maintenance of Indian embassies abroad

8.     Payments for maintaining offices abroad

9.     Donations to international institutions

10.  Import/export of goods insurance

11.  Loans extended to Non-Residents

12.  Postal services

IMPORTANT DETAILS WHICH NEEDS TO BE FURNISHED

       I.            Details of Remitter

  • Name
  • Address
  • PAN Number
  • E-Mail Address and Phone No.
  • Status of the Remitter (Firm/Company)
  • Principal Place of Business of the Remitter

     II.            Details of Remittee

  • Principal Place of the Remittance
  • Business Portfolio
  • Name and Status
  • Nationality
  • Address

  III.            Details of the Remittance

  • Amount of Remittance in Indian Currency
  • Nature of Remittance as Per Agreement
  • Currency in Which Remittance Is Made
  • Country to Which Remittance Is Made
  • Proposed Date of Remittance

  IV.            Bank Details of the Remitter

  • Name of Bank of the Remitter
  • Name of Branch of the Bank
  • BSR Code of the Bank

    V.            Others

  • Father’s Name of the Signing Person
  • Designation Of The Signing Person

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Section 8 Company Registration

A Complete Guide to Section 8 Company Registration in India

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Section 8 company is the most popular form of NGO registration in India. Though there are other ways to establish as NGO such as trust formation, society registration but section 8 company is the most preferred one. Before you read the entire blog, let us quickly summarized what you will get to understand about section 8 company in India. In this blog, you will find answers to

  • What is the minimum requirement of company registration on section 8 company?
  • what is the objective of going for section 8 company?
  • What is the company incorporation charges for section 8 company?
  • What are the benefits of having an NGO in the form of section 8 company?

The objective of section 8 company

  • Section 8 firm operations are for common the welfare of the population at large and it is formed for the promotion of commerce,  science, art, sports, education, research, social welfare, religion, charity, protection of environment or any such other similar nonprofitable object.
  • Though section 8 company may also engage in profit-making activities that are commercial in nature, any profit is separately reported in such cases. The profit earned from section 8 company has to be utilized for the objective for which NGO was formed.

The minimum requirement for company registration –a section 8 company

  • Minimum two shareholders;
  • Minimum two Directors (Directors and shareholders can be the same person);
  • Minimum one Director shall be resident in India;

Benefits of section 8 company

  • Limited Liability is one of the benefits. If any liability rises, the personal assets of members of the company are not attached. Members of section 8 company are liable for unpaid shares held by them, that’s all.
  • Greater Flexibility in company law when it comes to appointing company secretary or meeting formalities.
  • Section 8 Company is its Separate Legal Identity which means the company and its members have completely distinctive identities.
  • Income Tax Exemptions to Section 8 Companies is another important feature when we say benefit. The entity must be registered under 80G and 12A for the income tax benefits. You can read this article here to know about 12a and 80G.

FAQ:

Que- What is the definition of section 8 companies as per the company’s act 2013?

Under the Companies Act, 2013, (2013 Act), section 8 companies are limited companies which is licensed by the central government (CG) where it:

 a) Has in its objects the marketing of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of environment or any such other object;

b) Intends to apply for its benefits, if any, or other income in promoting its objects; and

c) Intends to prohibit the payment of any dividend to its members. A section 8 firm may operate, in terms of the CG license, without the addition to its name of the word “Limited”, or “Private Limited”.

Que- Can Section 8 company issue shares?

Yes but these companies can be formed without share capital as the donations funds are received which they use for objective fulfillment.

Que- Is Section 8 company a private company?

Section 8 company can be a private limited, LLP or public limited as long as it follows the prescribed rules of a section 8 company which is governed by the company’s act 2013

Que- Can a Section 8 company be converted into another type of the company?

Yes, after complying with relevant rules prescribed by company law. But it cannot be converted into one Person Company

Que- Can Section 8 Companies claim full tax exemption?

Yes but only after approval from income tax. They must be registered as 12A and 80G to avail of benefits. You can go to CA Services Online to understand the complexities of this.

Que- Can section 8 Companies issue dividends to its members?

No. They have to apply their profits towards the furtherance of their objectives.

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CALL Us to Know more about Scetion 8 Company: 7065818801

How To Set Up A NGO In India

How To Set Up A NGO In India? Know All About Trust Registration, Society Registration, Section 8 Company Registration And Niti Ayog Registration

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NGO is a non-governmental organization that is operated under the local level or national level or even international. The ones which are on international level are referred to as INGOs.

NGOs are usually nonprofitable and work for several causes- it could be for welfare of society, environmental cause, health cause, social upliftment, animal rights, human rights and so on.

Before you plan for an NGO registration process, you should know that it requires more than just the funds- Determination, hard work, strong network, desire for social service, willingness to work without profit.

The relevance of 12A and 80G Certificates for NGO’s

An NGO acquiring a 12A certificate is exempted to pay income tax for the entire lifetime on its surplus income. Also, an NGO must obtain an 80G certificate. This certificate allows donors to avail deduction under income tax.

In India, the NGO Registration process can be set up in three ways governed by the following laws

–          Section 8 Company Registration governed by Companies Act

–          Trust Registration governed by the Indian Trusts Act and

–          Society Registration governed by Indian Societies Act

Section 8 Company Registration

Section 8 company is suitable for non-profit objectives and it may be a private limited or a public limited company. It is one of the most preferred methods when someone goes for an NGO registration process.

It is governed by the laws of companies act, 2013. According to section 8 (1a 1b 1c) of companies Act,2013, a section 8 registration company  in India can be done for below purposes:

-promotion of commerce, art, science, sports, education, research, social welfare, religion, charity, protection of environment or any such other object above objects subject to the condition that

It “intends to apply its profits, if any, or other income in promoting its objects” and “intends to prohibit the payment of any dividend to its members.”

Therefore any income that a section 8 company makes, it has to be used for the purpose of objects for which section 8 company was formed, but not for the profit of members.

Minimum Requirements for section 8 company registration:

  • Pvt Ltd co. minimum shareholders 2, Public Ltd. Co. minimum shareholders 7
  • Pvt Ltd co. minimum directors 2, Public Ltd. Co. minimum directors 3
  • directors can be shareholders

Advantages of section 8 company

–          No minimum paid up capital requirement

–          No stamp duty to be paid on registration

–          Several Tax Benefits are given for section 8 companies

–          Section 8 companies have more credibility than other forms such as trust or society

–          In section 8 company members can easily transfer their shares

Documents required for section 8 company registration

–          ID Proof ( PAN Card) of all proposed directors

–          Address Proof 1( Aadhaar/Voter ID/Passport/Driving License)

–          Address Proof 2( Electricity Bill/Telephone Bill/Bank Statement)

–          Photograph of all proposed directors

–          Electricity Bill and Rent Agreement of premises

Other information of proposed Directors:

–          Educational Qualification

–          Experience with area of Operation

–          Citizenship and Residential Status

–          Place of Birth 

–          Permanent & Present Residential Status 

–          Contact Numbers and email ids

Trust Registration In India:

Another way of Ngo registration process is by way of Trust. Trust is a separate legal entity. A trust can be created by the execution of a trust deed; there are two types of trust, a public trust (charitable) which is created for the benefit of the general public whereas a private trust is created for the benefit of a particular group of individuals known as the beneficiary.

The founder of the Trust will initially contribute to the corpus of the trust list down the objectives for which it can be used and sets a goal of the Trust.

As per Section 6 of The Indian Trusts Act, 1882 a Trust is created when the Author of the Trust indicates with reasonable certainty by any words or acts the following:

An intention on his part to create a Trust

The purpose of the Trust

The Beneficiary

The Trust Property

And transfers the Trust Property to the Trustee.

Here are important terminologies in Trust

Author of the Trust : Person who reposes or declares the confidence

Trustee: Person who accepts the confidence

Beneficiary: Person for whose benefit the confidence is accepted

Trust Property: Subject-matter of the trust

Trust Deed: The instrument if any, by which the Trust is declared

Minimum Requirements

Number of trustees: Minimum 2 trustees

Advantages of Trust registration in India

–          Charitable trust are trusted by public

–          There are several tax benefits

–          Grant from Government is easy

–          80G certificate benefit

–          Expenditure made in trust is an investment

Documents required for Trust registration

–          Trust Deed

–          Self attested copy of the proof of identity of the author (Aadhaar card or passport or voter ID or driving license)

–          Self attested copy of the proof of identity of each trustee (Aadhaar card or passport or voter ID or driving license)

–          PAN card copy of all

–          Proof of the registered office address of the Trust (electricity/water bill or registration – certificate/ rent agreement along with NOC)

Society Registration In India:

Society Registration Act was enacted under the British Rule in India but is still in force in India and a popular form of NGO today also. Societies are also the member-based nonprofit organizations that operate for charitable purposes.  These organizations are almost always run under the authority of a governing body or a management committee. Societies are governed by laws of  Societies Registration Act, 1860.

According to section 20 of Society Act, 1860, a society registration can be done for the following purposes:

–          Promotion of fine arts

–          Diffusion of political education

–          Grant of charitable assistance

–          Promotion of science and literature

–          Creation of military orphan funds

–          Maintenance or foundation of galleries or public museum

–          Maintenance or foundation of reading rooms or libraries

–          Promotion or diffusion or instruction of useful knowledge

Minimum Requirements

–           Minimum of 7 or more than seven persons.

–          Societies can be registered or unregistered. But only registered Societies can be legally protected and can take benefits of societies which are legally available.

Advantages of Society registration in India

–          There are several tax benefits

–          Grant from Government is easy

–          80G certificate benefit

Documents required for Society registration

–          PAN Card Copy  of all the members

–          The Residence Proof of all the members (aadhar card or bank statement or passport or DL or utility bill)

–          Memorandum of Association  (which has objectives of the society for which it is being formed, registered address of society)

–          Articles of Association  (which has rules and regulation information of society)

–          covering letter (signed by founding members of society)

–          Address proof of registered office( utility bill, rent agreement along with NOC)

–          List of all the members  along with their signatures.

–           A declaration  by the president of the proposed society that he is willing and competent to hold the said post.

FAQ’s

What is niti aayog ngo registration?

Niti aayog registration’s objective is to bring about greater partnership between government & voluntary sector and foster better transparency, efficiency and accountability.

Niti ayog ngo registration is mandatory for ngos in order to receive beb=nefits/grants offered by ministries or Government bodies.

Who is eligible for niti aayog ngo registration ?

Trust, Societies, Section 8 companies are eligible for niti aayog registration ngo.

What is the best type of ngo registration?

Most popular form is section 8 company registration

How to do  ngo registration online ?

To apply for ngo registration online, you can contact professionals such as CA, CS who knows the law and help you with ngo registration online. CA services online in India can help you with such things.

How long does ngo registration process takes in India?

NGO registration process depends on the type of structure you choose to form you ngo registration online.

What is ngo registration fees in India?

NGO registration fees depends on type of ngro registration you have selected, state in which you want to register. It is best to go for CA Services online and check with professionals and compare the cost of professional fees also along with the government fees.

What is the role of Ca Services Online in NGO registration?

Role of ca services online is to make ngo registration online process a fair and transparent and cost efficient

Is FDI possible in NGO?

Yes it depends on the type of NGO. Better to check with professionals through ca services online

Can NRI be a member or shareholder of an NGO?

Yes it depends on the type of NGO. Better to check with professionals through ca services online

How to get tax benefits in an NGO?

By taking registration such as niti ayog registration, apply for form 80G and 12
certificates.

Advantages of Private Limited Company

Benefits and Advantages of Private Limited Company

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A Private Limited Company is the most common form to carry on a business as an entity intending to make a profit and enjoy the benefits offered by it, particularly limited liability. It is a voluntary association of at least 2 and not more than two hundred members/ shareholders, whose liability is limited according to the shares held by them. The shares of a Private Limited Company cannot be traded on public exchanges and are not issued through an IPO, hence the shares of a Private Limited Company are held privately. The Companies Act, 2013 has granted a lot of privileges and exemptions to private companies in order to facilitate ease of doing business in India.

ADVANTAGES OF COMPANY REGISTRATION:

1. Easy to Incorporate: The incorporation of Private Limited Company earlier used to involve huge time and cost for a businessman. But now the Ministry of Corporate affairs has come out with web form SPICE+ for Company Incorporation. The Web form provides various registration through one application i.e. PAN Number, TAN Number, ESI Registration, EPF Registration etc.

2. Limited Liability: A Private limited Company provides Limited Liability to all its shareholder’s/ member’s, unlike Proprietorship or Partnership where the liability of its owners is unlimited. In case of Company Registration the liability of the shareholders/ members are limited to the amount that is unpaid on the shares issued to them. Their liability is limited to the extent of the value of shares taken up by them.

Related Blog: COMPANIES FRESH START SCHEME, 2020

3. Minimum Capital Requirement: There is no such minimum capital requirement of incorporating a Company.

4. Separate Legal Entity: A Company is treated as an artificial person. Therefore, in the eyes of law it is a separate legal entity different from the Directors/persons acting on behalf of the Company. Being one of the major benefits for registering a private limited company as the members are not personally liable for the Company’s acts.

5. Perpetual Succession: As a Company is a separate legal entity, thus the cessation/ death of director/ or members does not affect the life of the Private Limited Company. Any member may come or go but the company goes on forever.

6. Foreign Direct Investment: Every business requires funds for its survival and growth. Therefore, It is easier to take investment through a Private limited Company.

7. Ease of Decision: As the control of the business remains in the hands of the owners of the Company. Hence, the decision can be taken and executed quickly.

8. Power to sue and be sued: Being a separate legal entity, a private limited company can file a suit against the third party in its own name and the third party may also file suit against it.

Related Blog: SPICE PLUS COMPANY PROCEDURES

9. Transfer of shares: The shares of a private limited company are free transferable subject to a condition as may be imposed by the board of directors. Hence it becomes easy to control the transfer/ dilution of interest and avoid outside interruption in holding of shares.

Frequently Asked Questions:

How can one register a Private Limited Company in India?

 To register a Company in India click on the below link: https://www.caonweb.com/company-registration.php and connect with an expert.

What are the eligibility criteria to be a shareholder or director for a Private Limited Company?

There is no such specific qualification required to be a shareholder or Director except that the person should be above the age of 18 years and of sound mind. 

Which documents are required for company registration?

  1. ID Proof ( PAN Card of both the directors)
  2. Address Proof 1( Adhaar/Voter ID/Passport/Driving License of both the directors)
  3. Address Proof 2( Electricity Bill/Telephone Bill/Bank Statement of both the directors)
  4. Photograph of both the directors
  5. Electricity Bill and Rent Agreement of premises to be kept as the registered office address

Which forms need to be filed for Private Limited Company Registration?

One needs to file the web form SPICE+ along with the required linked forms.

What is DIN?

DIN is the Director Identification Number which is allotted to the directors when the Company is incorporated.

How much Capital is needed for a Private Limited Company Registration?

There is no such minimum capital requirement. For more information regarding private limited Company visit our page- https://blog.caonweb.com/ (Search & find related topic)

IEC (import export code)

IMPORT EXPORT CODE REGISTRATION PROCEDURE

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What is IEC Registration?

Under the Ministry of Commerce & Industries, Government of India The Directorate General of Foreign Trade (DGFT) is authorised to issue IEC Certificate. IEC is a ten digit alpha numeric Code and acts as an Import Export License Certificate which regulates foreign trade in India and is managed by the DGFT. It is responsible for the formulation of trading policies, regulatory framework and issuance of licenses.

IEC Certificate is a PAN based registration and is mandatory for every commercial importer/exporter in India. IEC Code is required to avail the various benefits provided by the government to the importers/exporters. One should note that in the absence of IEC no business can be undertaken in the import export category as the customs department also seeks IEC before clearing the shipment from overseas.

Related Blog: How to Apply For Import Export Code In India

Import Export Code (IEC) once issued can be used by the entity throughout its existence, Therefore the IEC registration does not require any renewal or filing it is valid for the lifetime of the entity. Once the company/firm has obtained IEC, then the company/firm can perform all their import export requirements without any issues.

Features of Import Export Code

  • IEC is the primary proof that a firm/ Company/ entity is an importer/exporter.
  • It is mandatory to obtain IEC for undertaking export/import business in India.
  • Any one having a valid PAN can apply for IEC Registration.
  • Import Export Code is a one-time registration.
Import Export code

Benefits of IEC registration

IEC Registration is mandatorily required to import or export any product from India to any other country. The benefit of obtaining the IEC is that it provides new business opportunities for the registration holder and paves way to reach the international market. Other benefits associated with IEC Registration in India are as follows:

Related Blog: WHAT IS AN IMPORT EXPORT CODE (IEC)?

  1. Growth of Business– IEC helps the business person to expand its business to the global market. By having an IEC code one can export its goods and products and create a brand in the international market.
  2. Availing Several Benefits– DGFT, Export Promotion Council and Customs etc. provide several benefits to companies engaged in import/export on the basis of their IEC registration.
  3. No Compliance Filling of Returns– IEC does not require filing of any returns. IEC Certificate is more than enough.
  4. Trouble-free Processing– Obtaining IEC from DGFT requires professional guidance. The whole process is online and same can be obtained within 2-3 working days .
  5. Free for lifetime- Once obtained IEC code is valid for the lifetime of an entity and requires no renewal. IEC can be used by an entity against all export and import transactions.
  6. Government authorizes proof- Import Export code also works as the government identity as one can show this identity number for clearance of the shipments. The various government benefits are also obtained by having an IEC registration.

IEC REGISTRATION PROCDURE:

To obtain the IEC certificate one needs to apply with the DGFT by filling the requisite form along with the required documents. The whole process is online. The following documents are required for IEC Certificate: 

Documents for Private Limited Company:

  1. PAN Card of Company
  2. Printed Color Cancel Cheque/Bank Certificate
  3. Pan Card of all Directors
  4. Email id and Mobile number
  5. Official Address (Rent Agreement/Purchase Deed or Lease Deed/Electricity. (Any One mandatory))

Documents for Proprietorship:

  1. PAN Card
  2. Color Cancel Cheque
  3. Address Proof – Voter ID/ Passport/ Aadhar Card (Any 1 of them)
  4. E-mail id & Phone No. of Proprietor
  5. Registration Proof (GST or Any Registration Proof )
  6. Official Address (Sale Deed/Rent Agreement/Purchase Deed or Lease Deed/Electricity. (Any One mandatory))

Frequently asked questions:

What is IEC?

IEC is the abbreviation of Import Export Code also known as IE code. Click on the below link to connect with an expert. https://www.caonweb.com/import-export-code.php

Who requires an IEC?

Any one exporting or importing goods and services in India requires an IEC Certificate.

Can Export/Import be made without IEC?

Except for the Central and state government everyone requires IEC Registration.

Can we modify IEC Code?

Yes one can modify and update the Import and Export Code.

What are the benefits of IEC?

IEC is a one tie registration and is valid for lifetime, it does not require any kind of compliance filing.

For more information pertaining to IEC Registration click on the link https://blog.caonweb.com/ (Search & find related topic) 

Apeda Registration online

APEDA REGSTRATION: Is it mandatory for export of agricultural goods?

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APEDA is the commonly used abbreviation for Agricultural & Processed Food Products Export Development Authority it is a government organization established through the Agricultural and Processed Food Products Export Development Authority Act passed by the parliament in the year 1985 for the development and promotion of export of scheduled products. Scheduled products are the ones specified under the APEDA Act. For exporting such scheduled products one needs to register under the APEDA Act.

The authority deals with the development and advancement of the export of agricultural products. It gives monetary help and rules for the development of agro products in India.

The products specified under the “APEDA ACT” are known as schedule products and exporters of such scheduled products (Annex: List of Scheduled Products) are required register under APEDA.

FSSAI Registration Online

Annex 1:

FIRST SCHEDULE

  1. Fruits, vegetables and their products,
  2. Meat and meat products,
  3. Poultry and poultry products,
  4. Dairy products,
  5. Confectionary, biscuits and bakery products,
  6. Honey, jaggery and sugar products,
  7. Cocoa and all its products including chocolates of all kinds,
  8. Alcoholic and non-alcoholic beverages,
  9. Cereals and Cereal products,
  10. Groundnuts, peanuts and walnuts,
  11. Pickles, chutneys and papads,
  12. Guar Gum,
  13. Floriculture and floriculture products,
  14. Herbal and medicinal plants.

THE SECOND SCHEDULE

1. “Basmati Rice”

Nature of Registration:

This APEDA registration is one-time registration.

Related Blog: APEDA Registration: Procedure of filing & tracking status

Benefits of APEDA Registration

As we know APEDA license registration is mandatory in India for exporting scheduled products as specified in the APEDA Act. The following are the benefits of the APEDA registration:

1. Once APEDA certification is obtained exporters are eligible to avail numerous financial assistance schemes like:

  • Scheme for Market Development: for packaging development, feasibility studies, surveys, consultancy and database up gradation, brand publicity through advertisement, participation in buyer-seller meet, product promotion, participation in exhibitions, exchange of delegations, etc
  • Scheme for Infrastructure Development: for setting up of common infrastructure facilities by the State Government agencies and for private exporters.
  • Scheme for Quality Development: for strengthening in-house laboratories, quality control systems like ISO/HACCP/BRC/GAP, etc. sample testing, organizational building and HRD.
  • Scheme for Transport Assistance: Assistance is provided to subsidize freight component on floriculture, fresh fruits, fresh vegetables, fresh culinary herbs, dried flowers, processed fruits, vegetables, poultry, dairy products and medicinal plants.

2.  It helps the exporters in brand publicity through advertisement, packaging development, database up-gradation and surveys etc

3.  Provides guidance, advice and support to exporters regarding various products and countries for export of scheduled products.

4.  Members/ Exporters with APEDA registration can participate in training programmes organized by the authority to improve their businesses.

Documents Requirement for APEDA Registration Online:

  1. Import & Export Certificate
  2. Bank Certificate
  3. Cancelled cheque Copy
  4. PAN Card Copy
  5. Name & Address of the Proprietor/Directors/Partners
  6. Telephone No. and e-mail id (Mobile, Landline both)
  7. Passport Size Photograph – 1
  8. Rent Agreement for office premises (optional)
  9. Date of commencement of the business
  10. MSME registration certificate (optional)
  11. Number of male and female employees
  12. Items to export

Time for generation of APEDA certificate: It takes around 1-3 working days.

Related Blog: HOW TO GET APEDA REGISTRATION?

FAQ:

Why registration is required?

APEDA is required for export of scheduled products wherein the List of Scheduled Products are mentioned above.

How do I get an APEDA certificate?

The certificate can be generated by filing a registration application with the authority and paying the requisite fee. To submit a query click on APEDA REGISTRATION

How do I apply online for Rcmc?

The RCMC can applied by filing the prescribed form for APEDA registration online. The process require expert advice and one can take help of CA services.

When do we need to renew the APEDA license?

APEDA registration is a one-time registration and does not have any renewal requirement.

What are the scheduled products that required APEDA Certificate?

The detailed list has been mentioned in the blog for more information kindly search and find the topic by clicking on the link https://blog.caonweb.com/