GST REGISTRATION

GST REGISTRATION

Outsource your GST compliance and GST return filing to Online Filings. Our dedicated Tax Advisors can help you maintain tax compliance.

GST is the largest tax reform in India, greatly improving the ease of doing business and increasing the tax base in India by attracting millions of small businesses in India. The abolition and subordination of many taxes to one system would reduce the complexity of taxes, while the tax base will increase significantly. Under the new GST system, all entities involved in the purchase or sale of goods or provision of services or both are required to register with GST.

DOCUMENT REQUIRED FOR GST REGISTRATION

• Company KYC(MOA, AOA, COI)

• Director KYC(Aadhar & PAN)

• Director of Mobile & Email ID

• Photograph of the Director(in JPEG format)

• Company Bank account details

• Registered Address proof

Resignation of Director in Company

A director may resign from his office by giving a notice in writing to the company and the Board shall on receipt of such notice take note of the same and the company shall intimate the Registrar in such manner, within such time and in such form as may be prescribed and shall also place the fact of such resignation in the report of directors laid in the immediately following general meeting by the company.

Notice of Resignation of Director

The company shall within thirty days from the date of receipt of notice of resignation from a director, intimate the Registrar in Form DIR-12 (E-Form for Resignation) and post the information on its website if any. 

a copy of his resignation along with detailed reasons for the resignation to the Registrar within thirty days of resignation in such manner as may be prescribed.

The resignation of a director shall take effect from the date on which the notice is received by the company or the date, if any, specified by the director in the notice, whichever is later

Note: As per Section 168 (2) of Companies Acts 2013 Director who has resigned shall be liable even after his resignation for the offences which occurred during his tenure.

Where all the directors of a company resign from their offices or vacate their offices, the promoter or, in his absence, the Central Government shall appoint the required number of directors who shall hold office till the directors are appointed by the company in general meeting.

Top 8 Legal Mistakes Made by Startups

Do you get an innovative idea and wants to register a company? Setting up a startup requires a lot of work and effort. Many things require attention, including developing a proof of concept, finding a product/market match, and employing the first set of employees.

Some of the most common legal mistakes made by startups

1. Wrong legal entity

It is important to choose the right legal entity from the very beginning. Some structures to choose from include a registered company (Public/Private Limited), LLP, ownership, and partnership. The registered company is widely accepted, especially in the case of any transactions with foreign clients or taking loans from bank or investments from investors.

2. Not protecting intellectual property 

Intellectual property (IP) is the most valuable asset of a startup. Trademarks, patents, and copyrights are the three basic elements of IP. It is essential that you do not allow anyone to apply for the right to your IP address. Confidentiality agreements are a way to provide this. Startups often neglect IP protection and suffer later.

3. No tracking expenses

Another mistake commonly made by startups is not to track their expenses throughout the year. There are many options for managing expenses. The company can also hire accountants to manage these records if the volumes are high.

4. Lack of documentation 

Every interaction, be it meetings or anything else, must be documented. It is important that all documents are always in order. Legal due diligence may cause or interrupt the investment transaction.

5. No founder contract 

The founders’ contract should contain all relevant clauses, such as ownership, rights to acquire rights, and the roles and responsibilities of each founder, including remuneration and terms of employment.

6. Mixing capital costs and revenues

If the equipment or equity items are accidentally deducted as a cost of revenue, the tax department can determine that the expenditure has been incorrectly characterized and the deduction is not applicable. Therefore, watch out for all expenses.

7. Non-compliances

The founders are not able to take care of their weekly/monthly/yearly compliances of their startups and often give shares to investors, family, and friends. However, stocks issued without meeting specific disclosure requirements and filing securities in accordance with the law may lead to serious legal problems at a later stage. The company can also hire a legal firm to take care of the above-mentioned problems.

8. No regular tax payments

Companies, regardless of whether they are proprietors or directors of the limited company, can get into trouble if they do not pay taxes on time. Therefore, it is important to regularly take stocks of the income statement in each quarter and pay tax on time

Choosing a Legal Structure

One of the most important decision while creating a new company is choosing a legal structure.

Here are your options:

1. Sole Proprietorship: An entity run by a single person and generally employed in traditional businesses.
2. One Person Company: A company run by a single person who is also the shareholder and the director.
3. Traditional Partnership: It has at least two people as partners. Businesses now prefer registering themselves as LLP’s.
4. Limited Liability Partnership (LLP): like a Traditional Partnership Firm but with limited liability. It blends the benefits of a traditional firm (fewer regulations, more control), and of a corporate entity (limited liability of the partners).
5. Private Limited Company: Formed by at least two shareholders. As compared to an LLP, it has Equity shares instead of a Profit sharing ratio. However, it is a very compliance-heavy form of an entity

Why Website Policy Important For Any Business

In recent years, Internet spam has become an annoying and progressive problem for many consumers. Therefore if your business has an online presence like websites or social pages you need to have Policy pages in order to satisfy and acknowledge the users/customers about the data they are sharing with you.

Because Internet users are now concerned about their personal data and therefore the inclusion of the Policy pages on your site has become a very important factor. Internet users want to ensure that their identifying information will not be sold or used in any marketing activities

TYPE OF WEBSITE POLICY  YOUR BUSINESS WEBSITE SHOULD HAVE

A Terms and Conditions agreement is also known as a Terms of Service or a Terms of Use agreement.

You can include things like:

• How to credit content and images from the site
• Whether registration is required for posting content
• The types of user-submitted content that are allowed and disallowed

Why it is important?

If your site uses a forum, blog comments, or other user-submitted content, you should strongly consider having a terms-of-use document.

Tips:

If you are operating your site from another country (Australia, United Kingdom, Canada, South Africa), update the agreement to include your home country or country where your business (which is the owner and operator of the site) is registered.

2. DISCLAIMER POLICY

It is simplified versions of the terms and condition page. It is required on your business website if you have a lot of content sent by users that are not moderated by site owners or where there are many links to external sites. It basically says that the site owner is not responsible for the content or links.

3. PRIVACY POLICY

The privacy policy is one legal page that should have the majority of websites collecting information from customers.

The privacy policy should include:

• Using cookies and other trackers on the site
• How the collected personal data is used
• Who receives the collected information
• Contact information for deleting private information
• Information about third-party websites that may collect information (such as advertisers)
• Editing dates after changing the document

INTERNET USERS ARE NOW VERY CONCERNED WITH THEIR PERSONAL DATA. THEY WANT TO ENSURE THAT THEIR IDENTIFYING INFORMATION WILL NOT BE SOLD OR USED IN ANY MARKETING ACTIVITIES.

4. RETURN AND REFUND POLICY

The return and refund policy is the terms and conditions of any returns that may be offered by a website or e-commerce store. As a consumer, you certainly know this concept. Before you make a purchase, you may choose to review the site’s or store’s refund policy to make sure you agree with the terms.

For example, if a site says that “all sales are final” and no refunds are issued, you may think twice about placing an order. On the other hand, if another company offers the phrase “60-day, no questions”.

Specially e-Commerce website needs it for the refund and return policy.

HOW DO I ADD OR REMOVE PARTNER IN LLP

How do I Add a new Partner to an existing LLP

Consent of all existing Partners is usually required. However, if the LLP agreement permits, one Partner can also have the powers to admit new Partners to the LLP without consent of all the existing Partners in the LLP. The new Partner wishing to join the LLP must give intimation of his/her intent to join the LLP in Form 6.

Procedure to add a designated partner:

1. PAN Card of the applicant
2. Aadhaar Card of the applicant
3. Photo of the applicant
4. Email Id of the applicant
5. Phone number
6. Consent to act as partner or designated partner.
7. Details of other partnership, directorship, if any.

After Appointment of Designated Partner LLP is required to inform concerned Registrar of Companies i.e. in whose jurisdiction Registered office of LLP is situated, In E-FORM LLP-4 available on www.mca.gov.in, within 30 days of appointment.

Note: Please ensure to file necessary forms within Prescribed time as late fee is Rs.100/- per day for each day of delay which has no upper limit.

Resignation or Removal of Partner

A Partner in a LLP may cease to be a partner of a LLP in accordance with the LLP agreement between the Partners. If the LLP agreement doesn’t have any restrictions, then a Partner in a LLP can resign from a LLP by providing notice of resignation in writing not less than 30 days to the other Partners in the LLP.

Filing of LLP Form 4

To effect a resignation or removal or cessation of Partner from LLP, LLP Form 4 must be filed within 30 days of removal or resignation or cessation of Partner. Form 4 must be signed by a Designated Partner of the LLP and must be filed along with a Certificate from a Chartered Accountant or Company Secretary or Cost Accountant in practice. The Chartered Accountant or Company Secretary or Cost Accountant must certify that the books and records of the LLP have been found to be true and correct.