How to cancel LLP Registration using LLP Form 24?

Non-banking financial company (NBFC) is engaged in the business of loans, advances, acquisition of shares/stocks/bonds issued by the Government or local authority or other marketable securities. The NBFCs are considered as financial institutions. In this blog, we discuss what is NBFC, Advantages of NBFC, Registration of NBFC and all other necessary aspects of NBFC.

What is NBFC all about?

NBFC is a company incorporated under the Companies Act, 1956 or the Companies Act.2013 which is engaged in financial activities comparable to that of a bank. NBFCs are financial institutions that provide banking services without meeting the legal definition of a bank.  NBFC can raise funds from the public directly or indirectly or can freely lend them to spenders. NBFC advance loans to the various small, wholesale and retail traders as well as self-employed persons. NBFC is very popular due to attractive interest rates on the deposits of investors. The working and operating of NBFCs are regulated by the Reserve Bank of India(RBI) within the framework of the Reserve Bank Of India Act.

Functions of NBFC

NBFC has a great and financial impact on the Indian economy. NBFC focuses on business related to loans and advances, acquisition of shares, stock, bonds etc issued by Government or any local authority. NBFC aims for economic development of our country

Categories of NBFC

NBFCs are mainly categorized into 2 types. One is based on the nature of the activity of the company and other is on deposits.

On the basis of deposits, NBFC companies are two types

i) Companies eligible to accept deposits

ii) Companies not eligible to accept deposits

Types of NBFC companies on the basis of nature of activity are listed below

1) Asset Finance company

2) Investment Company

3) Loan Company

4) Infrastructure Finance company

5) Microfinance company

6) Housing finance company

7) Mortgage Guarantee company

How to Register NBFC?

We will discuss step by step procedure for registration of NBFC

1) Applicant company has to file an online application in the RBI's (Reserve Bank of India) website.

2) After submission of application, the applicant will get a reference number for further inquiry in future.

3) Applicant company needs to submit the duplicate hardcopies and necessary documents to the concerned regional officer of RBI.

4) The regional office will check the accuracy of all submitted documents. After verification of documents and after getting satisfied, the regional office will send the application to the Central office of RBI.

5) The central office will grant the NBFC registration only when it feels that applicant company fulfills all the prescribed things.

Documents required for NBFC registration

List of documents required for NBFC registration is given below:

1) Certificate of company incorporation

2) A bank account with a minimum paid up equity share capital of Rs 2 crore

3)MOA and AOA of the company

4) Well Audited financial accounts of the company

5) Board resolution passed for NBFC registration

6) A brief documentary details about the company's works and activities during the last three years.

7) PAN card.

Corbiz is famous in a matter of providing services relating to NBFC registration. To know more about NBFC registration kindly contact an expert person of Corbiz.

Source url - https://corpbiz-00.webself.net/blog/2019/02/11/how-to-register-a-nbfc

NBFC Takeover is a business strategy of acquiring management of the target company either directly or indirectly or what we called friendly or hostile. The motive of the acquirer is to gain control over the board of directors of the target company.

NBFC Takeover is of two Kinds- Friendly Takeover and Hostile Takeover.

In a friendly takeover, the acquirer first approaches the promoters or the management of the target company for negotiating and acquiring their shares at the decided price. The friendly takeover is mutually agreed between the parties and the target companies have the knowledge about NBFC Takeover .

On the other hand “hostile takeover” has some another face of the coin it is completely against the wishes of the target company’s management. Acquirer directly offers to the shareholders of the target company, without the prior consent of the existing promoters or management.

What does due diligence mean in the matter of NBFC takeover?

Due diligence means inspecting the facts of the documents, verifying the background of documents and also to check the authenticity of matter or organization transaction of the entity to be acquired or purchased.

Following steps of due diligence that should be taken while NBFC Takeover:

1.    KYC of all incoming and outgoing Directors, promoters,

2.    Incorporation certificate, VAT, GST registration , all other such registrations availed at the time of incorporation or during the ongoing tenure of the company.

3.    Inspection of all documents that are to be submitted to the RBI

4.    The previous records i.e. last 3 year financial statements, cases pending against the company, debt if any, such other details which could impact the decision.

5.     Formal MOU to be signed with a certain token of money. This will confirm the seriousness of both the parties interested in the matter.

What is the Procedure for NBFC Takeover?

RBI is the Governing authority for NBFC takeover . Firstly we are obliged to check what are the prior approval is required for NBFC takeover .

 

In following cases the prior approval of RBI is required wherein NBFC Takeover takes place :

1.     NBFC Takeover either Friendly or Hostile

2.    Change in the management leading to a change of 30% of the Directors. However, if such change pertains to change of 30% of the Independent directors or due to the rotation of directors then such changes does not require prior approval of RBI.

3.    Change in a Shareholding pattern in such a manner that it leads to transfer of 26% of the Paid-up capital of the company. However, if such change is due to Buyback of the shares or reduction in capital by the approval of a competent court then such changes do not require prior approval of RBI.

What is the Procedure for approval in the case where prior approval is required?

An application on the letterhead of the company requesting the approval is required to be made and certain documents are also to be attached with the application.

Following Documents are required to be attached:

a)    Details about the  proposed directors or shareholders ;

b)     Sources of funds used by the shareholders to acquire the shares in the NBFC Takeover

c)    Nonassociation/association declaration by the proposed directors or shareholders of being associated with any unincorporated body that is accepting deposits or with any company,

d)    Declaration by the proposed directors or shareholders that there is no criminal case, including for offense under section 138 of the Negotiable Instruments Act, against them

e)    Bankers’ Report on the proposed directors or shareholders

f)      Financial Statements and Annual Report for the last Three years

Public Notice: Two Public notices are to be published one in the vernacular language of the state where office of NBFC registration is established and one in English in two regional languages. The notices are to be published as follows-

1.    For 30days after approval of RBI for such NBFC Takeover

2.    Before 30days of entering into an agreement to purchase share/transfer of shares/ transfer of management or such interest for NBFC takeover .

Source url - https://corpbiz.weebly.com/blog/what-is-the-procedure-of-nbfc-takeover-in-india

 

Before we know about One person company registration process, first of all, we have to know what is One Person Company (OPC). One person company is a new type of business entity that allows a single enterpriser and business person to operate a corporate entity with limited liability protection .

In this blog, we will discuss about One Person Company registration and other aspects of One Person Company registration.

Here we will cover the topics which include:

I) Pre-requisites for One Person Company Registration

II) Benefits of One Person Company Registration

III) One Person Company Registration Process

IV) Documents Required for One Person Company Registration

Let's start the Journey.

I) Pre-requisites for One Person Company Registration

Certain requirements require to be fulfilled before taking One person company registration. List of the requirements need for One Person Company Registration is given below:

1) One shareholder

2) One Nominee

3) One director

4) One person

II) Benefits of One Person Company Registration

By taking One Person Company registration, you are entitled to avail a number of advantages. List of the benefits of One Person Company registration is given below.

1) Endless characteristic - If the Directors or shareholder go away from the company then also OPC continues its existence.

2) Limited Liability Protection -   Directors and shareholder of an OPC are not responsible to pay the debts of the company from their personal assets even if the company is declared insolvent. 

3) A single person can start a company - An OPC can be incorporated by only one individual person. 

4) Separate Entity - An OPC being a legal entity is distinct from its directors and shareholder. 

5) Name of the company is protected - After registration of OPC, the name of the company gets protected. Registrar of companies will not accept registration of another company which is similar, identical with an existing name. 

6) No necessity of minimum paid-up capital - There is no necessity of any minimum capital to start an OPC. 

III) One Person Company Registration Process

Here we will discuss about One Person Company Registration Process and if you wish to take registration then you have to follow this process discussed below:

1) Apply for Digital Signature Certificate - The first step is to get Digital Signature Certificate from the proposed directors with documents like address proof, Aadhaar card, PAN card, Photo etc.

2) Apply for Director Identification Number (DIN) - Next step is to apply for the DIN. This can be done in SPICE form along with the name and address proof of the proposed directors.

3) Approval of name - The next step in an OPC registration is the approval of the name of the company. Approval name can be obtained by filing the application in Form SPICE-32 or by using Reserve Unique Name (RUN) web services of Ministry of Corporate Affairs by selecting 1 preferred name. Name requires to be approved by the Ministry of Corporate Affairs.

4) Filing of forms - Applicant seeks to register an OPC has to fill up form with necessary documents. All those documents and form will be uploaded in the site of Ministry of Corporate Affairs for approval.

5) Issuance of Certificate of Registration - After completion of the verification process, the Registrar of Companies will issue a certificate of registration. After obtaining a registration certificate one can start the business.

IV) Documents Required for One Person Company Registration

For registration of One Person Company you have to submit certain documents. List of the documents need for one person company registration is listed below.

1) Memorandum of Association

2) Articles of Association

3) PAN card, Aadhar Card

4) Proof of the registered office of the proposed company along with ownership proof

5) No objection certificate of the owner

6) Affidavit of the proposed director

7) Declaration of the professional for production of all the documents

Conclusion

One person company extends the concept of limited liability to a company run by a single person. If there is only one promoter or founder then one person company is the best way to start a company

Corpbiz is an award-winning company in respect of providing service of one person company registration. If you are planning to take one person company registration, then contact Corpbiz, you can get best and affordable service.

Source url - https://www.storeboard.com/blogs/legal/the-ultimate-deal-on-one-person-company-registration-in-india/954575

 

 

Before we know about Nidhi Company registration, first of all, we have to know what is Nidhi Company. Basically, Nidhi Company is a type of non-banking Indian Finance company and it is also recognized under section 406 of the Companies Act,2013. Nidhi Companies in India are created for cultivating the habit of thrift and savings amongst its members. Nidhi company accepts deposit and lends loans to its members only.

In this blog, we will discuss about Nidhi Company registration and other aspects of Nidhi Company registration.

Here we will cover the topics which include:

I) Pre-requisites for Nidhi Company Registration

II)Benefits of Nidhi Company Registration

III)Nidhi Company Registration Process

IV) Documents required for Nidhi Company Registration

V) Nidhi Company Registration Fees

I) Pre-requisites for Nidhi Company Registration?

There are certain pre-requisites for Nidhi Company Registration and list of the requirements need for Nidhi Company Registration is given below

1) The name must contain "Nidhi Company Ltd"

2) A Nidhi Company that has to be incorporated shall be a public company.

3) It must have a minimum paid up equity share capital of Rs 5,00,000

4) There will be no issuance of preference shares by Nidhi Company

II) Benefits of Nidhi Company Registration

There are a number of benefits of Nidhi Company registration and list of the benefits of Nidhi company Registration is listed below:

1) Lower Rate of interest:- Loans at a very lower rate of interest are given to the members of a Nidhi company.

2) No outsider intervention:- Nidhi companies are formed, managed and provide details to their members only. The outsider is not allowed to intervene in the working of the Nidhis. Outsider is not allowed to deposit money or avail credit from Nidhi Companies.

3) Easy formation:- It is very easy to form a Nidhi company. Nidhi Companies are not required to obtain a license from RBI. Nidhi companies just have to incorporate themselves as a public company with the Ministry of Corporate Affairs.

4) Limited RBI regulations:- Regulations imposed on Nidhi's by Reserve Bank of India is limited. Nidhi companies follow the Nidhi Rules, 2014 issued by the center in respect of the activities and working

5) Limited capital requirement:- Ministry of Corporate Affairs mandates the minimum capital requirement of Rs 5 Lakhs for Nidhi Companies. After Nidhi Rules, 2014 came into force it mandated the capital requirement of Rs 10 lakhs for all Nidhi Companies.

III) Nidhi Company Registration Process

For Nidhi company registration , you have to follow the steps discussed below:

1) Obtaining of Digital Signature Certificate and Designated partner identification number:- To register a Nidhi Company all the partners need to apply for Designated partner identification number and Digital Signature Certificate. If all the directors already have their Designated partner identification number and Digital Signature Certificate, then they can skip this step.

2) Name of approval:- Person and company who needs to register for a Nidhi Company have to submit three option for the name of Nidhi Company to the Ministry of Corporate Affairs and out of three, one will be selected. The names provided should be completely unique.

3) Submission of Incorporation Documents:- Once the name is approved,  you have to submit registration application and all the necessary documents along with Memorandum of Understanding and Articles of Association.

4) Incorporation Certificate:- Once registration application is filed, then Person and company will receive an Application reference number. The Incorporation certificate is received within 15-20 days. It is proof that the company has been incorporated.

5) Apply for PAN, TAN, Bank Account:- In the last step you have to apply for PAN, Tax deduction and Collection account number (TAN) and bank account. PAN and TAN are issued within 7-10 working days. After receiving of PAN and TAN, one can submit the incorporation certificate, Memorandum of Understanding, Articles of Association and PAN with the bank to open a bank account.

IV) Documents required for Nidhi Company Registration

You need to submit certain documents for registration of Nidhi Company. List of the documents required for Nidhi Company registration is given below:

1) Copy of PAN card, aadhar card/Voter Identity card of directors

2) Address Proofs of the members

3) Director Identification Number (DIN) of the Directors

4) Passport size photograph of directors

5) Copy of 6) Copy of rent agreement (If the property is rented one)

6) Electricity/Water bill

7) Copy of property Papers

8) No objection certificate signed by the owner and landlord

9) Copy of the property papers

10) Digital Signature(DSC)

11) Memorandum of Association of the company(MoA)

12) Articles of Association of the company (AoA)

V) Nidhi Company Registration Fees

There are various components of Nidhi Company registration fees.   Nidhi company registration fee is paid online.

1) Registration fee payable to Ministry of Corporate Affairs:- This fee depends on the authorized capital of the company. A fee of Rs 1000 is applicable on approval name and Rs 500 is applicable on Director identification number registration.

2) Stamp Duty:- Stamp duty is payable on Memorandum of Association and Articles of Association. Since stamp duty is a state subject, therefore, it varies from state to state

3) Our fees/Corpbiz Fees - Corpbiz provides the best service relating to Nidhi Company Registration that also within very affordable price in comparison to other Consultancy companies.

Conclusion

Nidhi company is the safest and the cheapest way of raising funds from the general public just by registering them as members. To get the benefit of Nidhi Company you have to take Nidhi Company registration.

Corbiz is the most popular company in dealing with Nidhi company registration. Keep in touch with any of its consultant to get the best service in a matter of Nidhi company registration.

Source url - https://corpbiz-00.webself.net/blog/2019/02/05/what-is-the-registration-process-and-cost-of-nidhi-company-registration

The concept of Secretarial Audit is introduced by the Companies Act, 2013. A secretarial Audit is an effective tool for corporate compliance management.

In this blog, we will briefly discuss about Secretarial Audit when the secretarial audit is mandatory for companies and all other essential aspects of Secretarial Audit. Let's start the journey.

What is Secretarial Audit?

Secretarial Audit is an audit which helps to check compliance of various legislations including the companies act 2013 and other laws applicable to the company. Secretarial Audit is a governance measure which has a positive effect on the corporate entity. Secretarial Audit is an independent and objective assurance intended to add value and improve operations of the Company.

Benefits of Secretarial Audit

There are a number of benefits of Secretarial Audit which are given below

1)      Secretarial Audit provides a confidence level to the directors and Key managerial personnel.

2)      Secretarial Audit ensures legal and procedural requirements so the directors are able to concentrate on important business matters.

3)      Secretarial Audit strengthens the goodwill of a company.

4)      Secretarial Audit helps the investor of companies in a matter of analyzing the compliance level of companies.

Objectives and Purpose of Secretarial Audit

Objectives of Secretarial Audit are mentioned below.

1)      Secretarial Audit helps to point out and detect non-compliances and inadequate compliances.

2)      Secretarial Audit protects the interest of directors, officers, and stakeholders.

3)      Secretarial Audit avoids unwarranted legal actions by any law enforcing agencies and other persons.

Which Companies required to obtain Secretarial Audit report?

As per section 204(1) of Companies Act, 2013, following companies are required to obtain Secretarial Audit Report.

1)      Every listed company

2)      Every public company having a paid-up share capital of Rs 50 crore or more than that

3)      Every public company having a turnover of Rs 250 crore or more.

Is Secretarial Audit applicable to Private Limited companies?

As per section 2(71) of the Companies Act, 2013, a public company is the one which is not a private company. A private limited company has a minimum paid-up share capital of Rs 5 lakh or such higher paid-up capital as prescribed. The proviso to the above definition states that a company which is a subsidiary of a public company shall be deemed to be a public company even though such company is a private limited company. It can be inferred that secretarial audit will be applicable to a private limited company which is a subsidiary of Public company.

Process of Secretarial Audit?

Here we will discuss about the process of Secretarial Audit.

1)      Share the list of documents required for audit with the client

2)      Verification of Documents

3)      Noting the audit observations and share the same with the client

4)      Getting response from a client for audit observations

5)      Preparation and submission of audit observations with the management

6)      Discussion on audit observations with the management

7)      Submission of the Audit report

8)      Take requisite corrective actions

Documents required for Secretarial Audit

List of the documents required for secretarial audit is given below.

1)      MOA, AOA, any shareholding agreement.

2)      All statutory registers

3)      Notices, attendance registers of meetings

4)      Financial statements, reports of director's

5)      Statements of borrowings and investments

Conclusion

Secretarial Audit is considered as a compliance audit, it is a part of total compliance management in an organization.

Corpbiz is one of the best company delas with Secretarial Audit. If you have any doubt about Secretarial Audit, then kindly contact Corpbiz or any of its consultant.

Source url - http://corpbiz.over-blog.com/2019/02/when-and-why-secretarial-audit-is-mandatory-for-companies.html

A  private limited company is a company which is privately held for small businesses. The liability of the members of a Private Limited company is limited to the number of shares held by them. In this blog, we discuss annual compliance of a private limited company, private company registration etc. Let's begin the journey.

What is a private limited company all about?

A private limited company is a type of privately held small business entity. A private limited company is a firm held under private ownership. A private limited company may issue shares but it's shares never trade on a public exchange. This type of business entity limits owner liability over shares of shareholders.

What is the Annual Compliance for the private limited company?

For every company, it is compulsory to file an annual return and financial statements with the Ministry of Corporate Affairs for every financial year. Annual Compliance is mandatory for every private limited and registered company. Due dates for the annual filing of a private limited company are based on the date of the annual general meeting.

List of Annual compliance for Private Limited Company

Following are the list of Annual compliance for the private limited company:

1) Appointment of Auditor (within 15 days of the incorporation)

2) Annual filing with Registrar of Companies (ROC) Last date 30th September 2018. Example of Annual filing is listed below:

 i) Annual returns

ii) Financial Statements - Last date 30th December 2018

3)Annual General Meeting

4)Board meetings

5) Reports of Directors

6) Income tax - Last date 30th September 2018.

7) Maintenance of Records

8) Other compliances.

 

Benefits of Annual Compliance

The list of benefits of annual compliance is given below:

 1) Raising the company's credibility

 2)Attract investors

 3) Maintain active status and avoid penalties

Documents required for Annual Compliance

The list of documents required for annual compliance is given below:

1) Incorporation document such as PAN Card, Certificate of Incorporation, MOA, AOA of a private company

2) Audited Financial Statements

3) Audit Report and Board Report

4) Digital Signature Certificate of Director

Registration of a private limited company

How to register the private limited company step by step is given below.

1) Run name approval

2) Obtaining of Digital Signature Certificate

3) Submission of Incorporation application

4) Incorporation of Private limited company

 Corpbiz is one of the award-wining company deals with annual compliance of a private limited company. Keep in touch with any of its consultant to get better service in a matter of annual compliance of private limited company.

Source url - http://corpbiz.strikingly.com/blog/a-complete-guide-on-annual-compliance-of-a-private-limited-company

 

Earlier, it was quite difficult to take business loans from banks. But now, with NBFC Registration , it has become pretty easy to opt for business loans and that too with a minimal interest. The processing of business loans through NBFCs (Non-Banking Financial Companies) is quicker and has a less stringent set of requirements.

If you have ever observed, then you might know that banks generally do not provide loans to those with bad credit scores. However, the same isn’t with the NBFCs. NBFC Registration  offer loan even to those with bad credit score but levy a higher interest to offset the risk of default.

In this blog, we will focus on the following topics described as follows:                            

• NBFC Registration
• What are the NBFC Registration requirements in India with RBI?
• Documents required for NBFC registration
• Financial Companies that don’t require NBFC Registration

NBFC Registration

NBFC Registration is the process of registering a company under the Companies Act, 1956 or Companies Act, 2013. The core business of NBFCs is to provide loans and advances, investment in shares, debentures, personal loans, working capital loans, leasing, hire-purchase, and other stocks issued by the Government or local authorities.

NBFCs are more like a bank but differ in a few aspects such as:

• NBFCs do not accept demand deposits;
• Even it cannot accept cheques drawn on itself; and
• There is no availability of deposit insurance facility of Deposit Insurance and Credit Guarantee Corporation to the depositors of NBFCs, unlike in case of banks.

What are the NBFC Registration requirements with RBI?

A company intending to commence the business of non-banking financial institution as defined under Section 45 I (a) of the RBI Act, 1934 and incorporated under the Companies Act, 1956 or Companies Act 2013 should comply with the following:

1)     The company must be registered under Section 3 of the Companies Act, 1956 or 2013

2)     The company must hold the minimum net owned fund (NOF) of Rs. 200 lakhs.

Documents required for NBFC Registration

The application form and the following documents described below are required for filing application for NBFC registration . Let’s find out what they are-

• The certificate of Company Registration /Incorporation.
• Certified copy of the certificate of Commencement of Business in case of Public Limited Company Registration.
• KYC and income proof of directors and shareholders.
• CA Certified with NOF certificate of Directors, Shareholders, and Company.
• Credit report of Directors and Shareholders.
• Copy of PAN/CIN (Company Identification Number) allotted to the company.
• CIBIL Data pertaining to Directors of the company.
• Document related to the location of the company.
• Duly filled-in and signed Annexure-I, II, and Annexure-III.
• Copy of income tax filing.
• The MoA (Memorandum of Association) and AoA (Articles of Association) of the applicant company.
• The applicant company’s well-audited financial accounts for the last three consecutive years.
• Documents related to administration and management of the company.
• A bank account with a minimum paid up equity share capital of Rs. 2 crores.
• Other relevant details on request.

Financial Companies that don’t require NBFC Registration              

There are a few companies that don’t require NBFC registration  as they are exempted from NBFC registration and NBFC regulations of RBI. Find below the list of such companies:

• Housing finance companies
• Insurance companies
• Stock Broking
• Merchant banking Companies
• Venture Capital Companies
• Companies running Collective Investment Schemes
• Mutual Funds
• Nidhi Companies
• Chit Fund Companies

The above-described companies are exempted from NBFC registration  because they are regulated by other financial sector regulators.

Source url - https://corpbiz-00.webself.net/blog/2019/01/14/what-are-the-nbfc-registration-requirements-in-india

 

Introduction of Tax Deducted at Source   (TDS)

TDS stands for tax deducted at source. Tax Deducted at Source (TDS) is a mean of collecting income tax in India, under the Indian Income Tax Act of 1961. As per the Income Tax Act, any company or person making a payment is required to deduct tax at source if the payment exceeds certain threshold limits. TDS has to be deducted at the rates prescribed by the tax department.

Whether it is mandatory to deduct TDS?

As per the income tax Act, it is mandatory for any employer to deduct tax at source if the taxable salary is more than the basic exemption limit. It is also mandatory for every company who registered under Companies Act 1956/2013 to deduct TDS on salary of employees. 

Consequences of failure to deduct TDS  

If TDS is not deducted  at source, then deductor shall be liable to pay interest and penalty.

TDS Return

TDS deducted is deposited to the government by submitting 'income tax challan' along with the payment. Besides depositing tax, Deductor requires to file a TDS Return. A TDS Return is a quarterly statement which has to be submitted to the income tax department. Submission of TDS Return is mandatory on part of deductor.

Eligibility Criteria for  filling TDS Return

TDS return  can be filed by employers or organizations who avail a valid Tax Collection and Deduction Account Number (TAN). Any person making specified payments mentioned under the Income Tax Act is required to deduct tax at source and need to deposit same within the stipulated time .

Non-filling of TDS Return and it's consequences

If anyone fails to file the TDS return within 1 year from the due date of filing return or if a person has furnished incorrect information, he/she shall also be liable for penalty.

 Procedure for filing of TDS return  

Various forms are used for filing TDS return, depending on the purpose of deduction. The list of forms is given below. 

1) TDS returns require to be filled along with a signed verification in Form No. 27A. 

2)  Totals of the amount paid and the tax deducted at source have to be correctly filled in all the forms, including Form No. 27A, Form No. 24, Form No. 26 and Form No. 27. 

3) Deductor requires to mention their Tax Deduction Account Number (TAN) in Form No. 27A. 

4) TDS return has to be filed in the ASCII clean text format. 

5)   After submission of TDS return , if it finds that all informations are accurate then a provisional receipt/token number will issue. 

6) Provisional receipt is considered as an acknowledgment, stating that the return has been filed properly. 

7) In case, the return is not accepted, then a non-acceptance memo will issue along with the reasons for rejections.

Procedure for filing of TDS return in the Income Tax Department e-filing portal

From 1st May 2016 , the online submission of Quarterly TDS/TCS  statements will discontinue at TIN-NSDL website.  Deductors who desires to upload the Quarterly TDS/TCS e-Returns online, shall upload the same at e-Filing Portal of ITD. Deductor requires to register the Tax Collection and Deduction Account Number (TAN) at ITD’s e-Filing Portal using a valid Digital Signature Certificate.

Procedure to file TDS returns online

Online filing of quarterly results is compulsory and mandatory as per section 206 of the Income Tax act. Online TDS return filing is compulsory under certain circumstances which are given below.

1) Deductors/Collectors from government offices 

2)Deductors/Collectors from private companies or corporates 

3) If the Deductor/Collector is a person, whose accounts require to be audited u/s 44AB of the Income Tax Act in the last financial year. 

4) Where number of deductees recorded in the statement during a specific quarter are 20 or above than 20.

Requirement of Documents for filing TDS return

Certain documents are required for purpose of filing TDS return and same are given below

1)   Abstract of bank statements.

2) Proof of investments and Form 16 (Salary certificate issued by the employer)

3) Form 16A / TDS certificate

4) Challan of tax payment made like advance tax or self assessment tax.

 5) Proof of investments in property

Benefit s of Filing TDS Return

If anyone files TDS return, then he/she can avail a number of benefits which are mentioned below

1) Visa processing: Filing of income tax return is a mandatory requirement for the processing of visa.

2) Claiming additional deductions: If a salaried person has filed income tax return, then he can claim additional deductions which are not considered by his employer while deducting TDS.

Corpbiz is an award winning company in matter of filling TDS return and expert persons are appointed to assist any one in matter of filling TDS return.

Source url - http://corpbiz.strikingly.com/blog/procedure-for-filling-tds-return

Professional Tax is a tax which is levied by the state governments at the state level in India. Professional Tax is levied on the income earned by salaried employees and professionals , including chartered accountants, doctors and lawyers, etc.

Person responsible to deduct professional tax

Every employer is responsible for deducting professional tax from the salaries of his employees. An employer has to furnish a return to the tax department in the prescribed form within the specified time along with proof of tax payment.

Necessity of Professional tax in India

Professional Tax is a source of revenue for the state governments which helps in implementing schemes for the welfare and development of the region.

Mandates of professional tax

Profession tax is levied by particular Municipal Corporations and most of the states in India impose this duty. As professional tax is a source of revenue for the government, hence It is mandatory on part of persons such as chartered accountants, doctors and lawyers to pay professional tax.

Calculation of Professional tax

Amount of Professional Tax is calculated on predetermined slabs and on basis of the salary or monthly income levels.

Liability of person to pay professional tax

In the case of salary and wage earners, employer is liable to deduct professional tax from salary and wages of employees also liable  to pay it to the state government. In case of other classes of individuals, the professional tax is liable  to be paid by the person himself.

Professional tax registration in India

Persons falling under the ambit of professional tax and the employers who employ staff for their business require to obtain registration with appropriate department for compliance of professional tax in a particular state within 30 days coming under the purview of the applicability of professional tax. Each professional, Directors of Company, Designated Partners of the LLP or any other employer requires to seek registration of professional tax. Each Professional and employer requires to ensure that professional tax is deducted from the salary of employees. If there is more than one place of work, application must be made separately to each authority . Delay in obtaining Professional Tax Registration Certificate incurs a penalty as prescribed. In case of non/late payment of profession tax, penalty will be 10% of the amount of tax.

Reasons to obtain professional tax registration

A number of reasons are prescribed   behind object of obtaining professional tax registration and same are given below

1) Statutory Requirement - Employers in certain states of India are required to mandatorily obtain professional tax registration, deduct and pay service tax on behalf of employees.

2) Avoidance of penalty - In case of failure to obtain professional tax registration or remit professional tax can result in fines and penalties that accrue over time. To avoid this penalty , employers and professionals are required to obtain professional tax registration.

3) Easy compliance - Compliance with professional tax regulation is easy. Professional tax registration can be obtained easily and compliance maintained easily

Documents Required for professional tax registration

Certain documents are required to obtain professional tax registration and same are given below.

1)  Documents of the Directors:

2) PAN card + I.D. proof such as Passport, Driving Licence, Voter Card, Aadhar Card

3) Address proof such as Electricity Bill, Telephone Bills and other utility bills.

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