1Your business requirement
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Proprietorship firm registration
Start your proprietorship business in a day in Chennai with our express proprietorship firm registration services. If your looking for affordable startup, proprietorship registration is best option to start with.
What this Service Includes
- GST registration
- Udyam registration
Documents required
- Passport size photo
- PAN copy
- Aadhaar card
- E-Mail id
- Mobile no
- Rental agreement/ Sale deed/ Lease deed.
- Electricity Bill or coporation tax payment receipt for business address
- Category of products
When you may need Proprietorship firm registration
2Your records or filing
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3Your next step
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Why should you register proprietorship business ?
Minimum legal compliances
Proprietorship firm registration is considered as most beneficial form of business structure considering legal complaicnes required to maintain the firm, there is no renewals or annual filing required for retaining proprietorship firm.
Benefits under income tax act
Under income tax act proprietorship business is considered as individual business therefore there is no seperate assessment for proprietorship firm, a individual is required to file income tax return with his or her individual income taxs return. The required to deduct TDS and file TDS returns are applicable only when the turnover is more than Rs.1 crore.
Income tax returns are not mandatory
Filing of income tax returns is not mandatory if gross total income is less than basic exemption limit, therefore in case where there is no business due to any reasons relaxation from filing income tax returns are available.
Easy to setup
Proprietorship business is easy to setup, minimum documents are required for registration of proprietorship firm, udyam registration is approved on straight through process therefore there is no manual approval by any of the officer which makes the setup quick and trouble free.
Compliances required for proprietorship firm
Income tax return filing
Income tax returns are required to be filed on or before 31 st july every year for preceeding financial year, incase the turnover crosses Rs.1 crrore tax audit is applicable the relaxation from tax audit is applicable if presumptive taxation scheme is opted for turnvoer up to Rs.2 crores.
GST registration
GST registration is requried to be filed only if turnover crosses Rs.20 Lakhs in any financial year after commencement of business for service provider and for trading the limit is enhanced to Rs.40 lakhs. There are some categories of business which needs mandatory registration irrespective of the turnover.
Udyam registration updation
Udyam registration certificate should be updated if there is any changes in particulars submitted during the udyam registration application, this makes sure that the critical business infomration submitted to government department is accurate.
Import export code registration.
Incase the firm is engaged in import and export business then import export code should be updated on of before every 30 june, if the ie code is not updated the status of the IE code will be updated as invalid by the DGFT system and penalty of Rs.500 is payable in additional to professional fees for ie code renewal.
Trade mark registration
Registration of proprietor ship business does not automatically protects the name of business from others, still other persons can register a business wiht same name, incase if you want to protect your business name as a brand then you should apply trademark registration.
What should I know before getting GST registration ?
Steps in this service
Discuss the requirement
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Prepare the documents
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Complete the service
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Proprietorship Registration FAQ's
Select a question to read the answer.
01Can we get financial assitance from banks for proprietorship firm ?
Proprietorship is recognised form of business structure in India, banks considers proprietorship business as viable option for grant of laons and other financial assistance. There are lakhs of business registered as proprietorship firm every year in India, some business still contiues as proprietors ship business even after crossing 500 crores.
02Can I transfer my proprietorship busines to other persons ?
Transfer of proprietorship business as it is not possible becuase everything is linked to proprietor personal PAN, GST registration bank accounts and other registrations are applied in the name of proprietor as primay applicant. Transfer is possible only by transfering the underlying asset and business which means legal sturucture cannot be trasnsfered to other persons.
03I have already registered proprietorship firm in udyog aadhaar ealrier can I register another firm now ?
Yes you can add any numebr of proprietorship business to udyam registration, we need to first migrate to udyam registration from udyog aadhaar thereafter we can modify or add new firm in existing certificate.
04Do I need to rent a office for running proprietorship firm ?
There is no such requirement to have a seperate place for registration of your small business as propeiretorship firm, incase of oother additional registrations such as GST registration or FSSAI etc there may be necessity depending on case by case.
05What are the income tax rates applicable for proprietorship firm ?
There is no seperate income rates for proprietorship firm, the business income along with other income is assessable to income tax at the same tax rates applicable to individual with other income.