Registration of Business and Services in India
New company registration India is governed by the Companies Act 2013, a new legislation replacing the 5 decade old Companies Act 1956. This legislation assumes importance as it empowers the Central Government to regulate the formation, administration, functioning and winding up of a duly registered entity.
Company Regulations:
The companies are regulated through various authorities such as Company Law Board, Registrar of Companies, Regional Directors and the Official Liquidators by way of delegated legislations. The Ministry of Corporate Affairs administers the Act. The official liquidators are attached to the High Courts of the respective States. The registrar of Companies is the designated government authority empowered for new company registration India. The required forms like Memorandum and Articles of association spelling out the broad objectives, capital investment and administrative aspects of the proposed company are to be filed in prescribed formats with jurisdictional Registrars. Professional enablers like CA, CA or Cost Accountants certify the contents of these documents and ensure that the submitted documents are in compliance with the Companies Act 2013 and Rules made there under. Recently, the National Company law tribunal was proposed to be constituted replacing the requirement of State High Courts for winding up, merger and amalgamation.
Registration of Services:
After incorporation, based on the turnover of the service rendered, the companies are required to obtain service tax registration number. The threshold limits for registration under service tax is enshrined in the respective State enactments. The tax to be paid on services offered or services availed are mentioned by way of circulars and notifications issued by respective Government offices. When a new category of service is proposed, then the existing registered entity or person has to apply in form VI for updating the existing list of services rendered by him. Similarly, if a particular service is discontinued, the registration authorities are to be intimated in prescribed format for amendment in the registration of service tax certificate. Once registered, the quarterly, half-yearly and annual returns are to be filed detailing about the kind of service rendered and the expected turnover during the respective period. Based on legislative changes and new services, many interpretations have emerged in the industry making the service tax registration requirement a tedious task in India.
Conclusion: Registration of new companies and obtaining service tax registration thereof is a onetime exercise, but these are to be regularly updated so as to be under constant compliance of the respective enactments. Any non-compliance entails heavy penalties in certain cases, also attracts imprisonment of the managerial personnel and promoters.
Company Regulations:
The companies are regulated through various authorities such as Company Law Board, Registrar of Companies, Regional Directors and the Official Liquidators by way of delegated legislations. The Ministry of Corporate Affairs administers the Act. The official liquidators are attached to the High Courts of the respective States. The registrar of Companies is the designated government authority empowered for new company registration India. The required forms like Memorandum and Articles of association spelling out the broad objectives, capital investment and administrative aspects of the proposed company are to be filed in prescribed formats with jurisdictional Registrars. Professional enablers like CA, CA or Cost Accountants certify the contents of these documents and ensure that the submitted documents are in compliance with the Companies Act 2013 and Rules made there under. Recently, the National Company law tribunal was proposed to be constituted replacing the requirement of State High Courts for winding up, merger and amalgamation.
Registration of Services:
After incorporation, based on the turnover of the service rendered, the companies are required to obtain service tax registration number. The threshold limits for registration under service tax is enshrined in the respective State enactments. The tax to be paid on services offered or services availed are mentioned by way of circulars and notifications issued by respective Government offices. When a new category of service is proposed, then the existing registered entity or person has to apply in form VI for updating the existing list of services rendered by him. Similarly, if a particular service is discontinued, the registration authorities are to be intimated in prescribed format for amendment in the registration of service tax certificate. Once registered, the quarterly, half-yearly and annual returns are to be filed detailing about the kind of service rendered and the expected turnover during the respective period. Based on legislative changes and new services, many interpretations have emerged in the industry making the service tax registration requirement a tedious task in India.
Conclusion: Registration of new companies and obtaining service tax registration thereof is a onetime exercise, but these are to be regularly updated so as to be under constant compliance of the respective enactments. Any non-compliance entails heavy penalties in certain cases, also attracts imprisonment of the managerial personnel and promoters.