Fri, 15 May 2026 16:32:46 -0700WeeblyFri, 16 Oct 2020 14:18:23 GMThttp://www.imamassociates.com/ca-tareq-imams-blog/starting-a-business-in-india
Here's a step-by - step guide to help you register in India

Establishing a new enterprise sounds daunting. Yet it can benefit the company and the economy at large. With several companies seeking to set up businesses, there are few items to remember while registering your company in India. With that in mind, we are pleased to present some foundational measures required to register any company in India:

1. See Brand Name Availability



Before any company registration can take place, you must check for the proposed name. This can be accomplished electronically, where applicants can search their preferred company names on the MCA 21 website. Once accepted, the chosen name appears on the website.

2. Manager Identity Number (DIN)



A Director Identification Number (DIN) is a special identification number issued to every current or future business director incorporated. Online filling out a DIN-1 application form will acquire a provisional DIN.



Then, for clearance, a printed and signed type version must be forwarded to the ministry along with identity and address verification. A permanent DIN is released after record review and subsequent proposal acceptance.

3. Digital Signature Certificate



A digital signature certificate is an electronic key that validates and recognises this certificate's issuer. One licenced ministry-registered entity may grant this certificate. When applying for a Digital Signature Credential, company directors must request an application document, identity proof and permanent address proof.

4. Having an Incorporation Certificate



The Ministry of Corporate Affairs issues an incorporation certificate which is required to form the business. To request, the following documents must be digitally filed on the official business affairs ministry website – e-form 32, e-form 1 and e-form 18.



With Form 1, one copy of each must be given to the Business Registrar: the Memorandum and Articles of Incorporation (MoA and AoA), the approval of directors, and a stamped copy defining the power of attorney.



The incorporation certificate would be automatically sent to the company's e-mail ID as given in the details sent with the forms.

5. Company seal on legal documents



A company seal is required for exchanging certificates and other official documents. The approximate expense of obtaining an official seal depends on the amount of terms to be etched, the amount of seals released, and the time span for seal distribution. The obligation to retain a company seal is not necessary for private corporations.

6. Business records stamping



The proposal to get the company's incorporation papers stamped would still have the unsigned versions of the memorandum and partnership articles added alongside the invoice receipt. For such papers, the business registrar should pay stamp duty electronically.



Following this filing, the Superintendent returns the copies, each of which is sealed, authenticated and formally embossed. Finally, the promoters must sign the MoA and AoA, filling in their own handwriting with all necessary material.

7. A Permanent Account Number (PAN)



Form 49A is required for PAN application. When a particular PAN is purchased, official mail can send a tangible image of the PAN card to your registered address. The PAN application may also be online, but for final verification, the required documents will still need to be physically sent.

8. A Tax Account Amount (TAN)



A Tax Deduction Account Number or Tax Collection Account Number (TAN) is a specific number provided by the Income Tax Department to all organisations needed to either deduct or raise tax at source.



To receive this amount, Form 49B must be completed and sent to a TIN Facilitation Center. Once confirmed, the application is sent to the Income Tax Department and the TAN is released. The application can be done offline or via the NSDL website.

9. Obtaining a State / Municipal Inspector certificate under the Shops and Establishment Act



A statement that includes the employer / manager 's names, company 's designated name and permanent postal address and business category must be provided to the State Shop and Establishment Inspector along with the payment of applicable fees. This is a crucial move in registering trade licences since all businesses must be licenced within one month (30 days) of starting their company.

10. 10. Requesting GST registration



GST registration is mandatory for any entity seeking to provide goods and services across states while maintaining an annual aggregate turnover of more than INR 40 lakhs/20 Lakhs. This should be prioritised above all other registration process. For further details on GST registration and documentation needed for entry, please follow the connexion below.



If you are a seller or plan to be a seller on Amazon.in (except: if you only deal with GST-exempt categories).

11. 11. Obtaining a tax certificate from the State Tax Office



Every employer (not a government officer) is liable to taxation and must obtain a registration certificate from the relevant authority. A company shall, if applicable, file Form 1 to the State Professional Tax Office to apply for a Professional Tax Certificate.

12. 12. Completing a Provident Fund for National Employees



Every employer must provide the local Employee Provident Fund Organization (EPFO) with worker information. This must be achieved in the specified way, such that the organisation may obtain an Institution Code Number (ECN). This procedure falls under the employer's exclusive purview, and workers should not render different applications. Notice that this would only be necessary if the terms of the Provident Fund and Miscellaneous Provisions Act, 1952, extend to the company.





Of course, once you're actually off the ground, you'll need to be willing to market your product line too. And the best way is to sell Amazon online. Through its extensive online sales expertise, Amazon is able to support you reach your company objectives.

Disclaimer: While Amazon Seller Services Private Limited ("Amazon") has made fair efforts to collect the information presented, there is no guarantee as to its quality, completeness or usefulness or that it is error-free. Amazon hereby disclaims any liability and takes no obligation whatsoever for the effects of utilising such details. Information provided may be changed or updated at any time, at Amazon's sole discretion, without notice. Any reproduction, duplication, republication or quality of the material without Amazon's prior written permission is strictly forbidden. You agree to use, at your own risk, any and all claims, rights of action and/or remedies (under law or otherwise) that you may have against Amazon arising from or in connexion with the use or reliance on such information.]]>Tue, 30 Jun 2020 14:01:37 GMThttp://www.imamassociates.com/ca-tareq-imams-blog/nro-accountIf person becomes NRI in this year and have balance in his Savings AC. Once he become NRI all his bank ac be converted into NRO AC.

Q- Balance in this NRO AC is subject to same restrictions like Repatriation restrictions,  investment restrictions, loan restrictions as provided in Regulation? I am asking because this is the balance in the account when he was Reaident.

Answer: Yes. ​Balance in this NRO AC is subject to same restrictions like Repatriation restrictions,  investment restrictions, loan restrictions as provided in Regulation
]]>Sat, 13 Jun 2020 11:52:01 GMThttp://www.imamassociates.com/ca-tareq-imams-blog/sales-through-independent-general-commission-agent-do-not-create-businessconnection-in-india
​
The Indore Income-Tax Appellate Tribunal (ITAT) rendered its decision

Withholding tax does not apply to sales made by a non-resident

Through India's independent commission agent

The case's facts:

RSV Global (taxpayer)1

Is a collaboration company engaged in trading various agro commodities viz. Yellow. Yellow.

Peas, plants, trees.

· Taxpayer imported during fiscal year (FY) 2014-15, corresponding to assessment year (AY) 2015-16

Yellow peas from AST Enterprise Inc., Dubai ('PKT') and Ethiopian Niger seeds

(AST).

• PKT and AST are non-residents, and transactions were made through Indian agencies. Ashapura's

Commodities, PKT and A.G. Goel & Sons for AST.

· Taxpayers have not withheld tax on the payments made to PKT and AST for the import of agro

Commodity.

· Taxpayer's enquiry by the Assessing Officer (AO) on the grounds of non-taxation

Submitted that taxes were not withheld as PKT and AST confirmed they had no business

Connecting in India.

· The AO did not recognize the taxpayer's arguments and kept the taxpayer in default for not

Withholding taxes (payments to PKT and AST). The AO therefore raised a tax demand

Amount of tax and interest thereon under the Income Tax Act , 1961 (ITA).

· On appeal, the Commissioner for Income Tax Appeals [CIT(A)] upheld the AO 's order on the grounds that the appeal was filed.

Agents worked primarily or entirely for PKT / AST. For PKT, 52 per cent of PKT 's revenues

PKT's earned handler.

· Under CIT(A), the taxpayer lodged an appeal with the Indore Income Tax Bench.

Appeal Court (ITAT).

· The following facts / controversies submitted by taxpayers before ITAT are relevant:

• PKT or AST had no business relation in India and verified the same;

· Agents were independent commission agents and worked for other traders

Even. Even. They did not stock products on behalf of PKT / AST. The agents confirmed these facts;



1 RSV Global v. Income Tax Officer, Bhopal [2020] 115 taxmann.com 335 (Indore-Trib.)

© 2020 Deloitte Tohmatsu India LLP

* Agents had no power to contract on behalf of PKT / AST. In case of AST, the contract

Their agents, the seller and the buyer also signed for approval to bind the parties;

PKT / AST secured, concluded and executed orders;

· No clear arrangement between PKT / AST and the agent;

· There was no room for the PKT / AST agent and they issued PKT / AST instructions, as they did.

Orders from others.

Circular 23/1969 of 23 July 1969 and CIT v. Hindustan Shipyard Ltd.2

Taxpayers,

Disputed that:

O Prima facie developed that PKT / AST had no business relation in India.

O There must be more than a sale and purchase transaction between the principal and

principal.

O No investigation was performed on PKT / AST and there was no evidence of true and intimate

Creating a business link in India.

O It was Revenue that had a business connection with PKT / AST in India and

Revenue hadn't done the same.

ITAT 's decision:

· ITAT noted that PKT reported that it had no daily agent in India and was exporting through

Brokers who were independent commission officers. Similarly, other actors had

Stated their agents were autonomous.

· Under ITA rules, whether a broker, general commission agent or any other agent operates primarily or

On behalf of the non-resident, he is not considered an independent agent. The responsibility

Proving that agents should not receive orders on behalf of the non-resident was with the taxpayer.

· The ITAT noted:

· Invoices claimed that the product was sold by the agent;

· Agent received over 50% of the commission from the non-resident;

The taxpayer submitted different documents showing that the agent was a general commission

Citizen. Citizen.

· ITAT depended on Circular 23/1969 of 23 July 1969 and CIT v. Hindustan Shipyard Ltd.2

And kept this:

The agent may be the main client, but the law allows non-resident to be the main client.

The worker.

· Receipt of 52% of non-resident revenue did not mean that the agent acted primarily on behalf of the non-resident

The non-resident's.

· Given the above, the ITAT held that the taxpayer was not required to withhold tax from payment

Produced to non-residents (i.e. PKT / AST) and, therefore, should not be considered by default for not

Tax withholding.



2 CIT v. Shipyard Ltd. [1977] 109 ITR 158(AP)



Commentaries:

The ruling defines the idea that an independent agent receives more than half of revenue

The non-resident principal alone would not result in a non-resident business in India. The The The

Ruling will apply to non-residents selling goods through independent agents in India.]]>Tue, 02 Jun 2020 11:02:17 GMThttp://www.imamassociates.com/ca-tareq-imams-blog/prior-approval-is-necessary-for-a-valid-assessment-under-section-153a-and-153cSection 153D of the act in the present Search Assessment regime mandates that a prior approval is necessary for a valid assessment under Section 153A and 153C. The Legislative intent can be gathered from the CBDT Circular No. 3 of 2008, dated 12.3.2008, which read as under: Assessment of search cases Orders of assessment and reassessment to be approved by the Joint Commissioner. The existing provisions of making assessment and. reassessment in cases where search has been conducted under section 132 or requisition is made under section. 132A does not provide for any approval for such assessment.]]>Wed, 27 May 2020 13:50:43 GMThttp://www.imamassociates.com/ca-tareq-imams-blog/tax-relief-under-covid-19​List of tax measures announced by Finance Minister

Smt, Finance Minister. Nirmala Sitharaman's press conference on

May 13, 2020 to share the Rs 20 lakh economic package announced

Premier, Sh. Narendra Modi.

The Finance Minister revealed many Micro, Small and Medium packages

Enterprises ( MSME) business to get certain relief under COVID-19

Pandemic. Pandemic. The FM has implemented many initiatives, including

Collateral-free automatic loan, updated MSME concept, etc.

1. Announcement Database

The Finance Minister also announced several income tax reliefs, which

Specified below:

(A) TDS / TCS rates for designated payments / receipts shall be reduced

25%. 25%. This waiver is available for tax withheld or obtained

Around 14-05-2020-31-03-2021. This relief is not available to a wage and

Taxpayer non-resident. Tentative TDS and TCS levels are listed below

Chair. Chair.

B) All pending refunds to charitable and non-corporate trust and

Professions are released soon.

C) The expiry date of all income-tax returns for the financial year 2019-20

Between 31 July 2020, 31 October 2020 until 30 November 2020.

(D) The tax audit date under section 44AB is prolonged from 30 September.

2020-31 October 2020

E) Last date to vote for Vivad ke Vishwas Program without charging 10% more

The unresolved tax is continued until 31 December 2020

F) 30-09-2020 date for completion of reviews until 31-12-

2020. 2020. Where tests are delayed on 31-03-2021, 30- shall be expanded

09–2021.

Through rising TDS / TCS, the Govt. Giving taxpayers greater money

His paws. This declaration would help self-employed in this tough period,

Professionals and retirees receive tax or rental profits. It's not.

Provide enough support to wage-earners. It should be noted, however, that



Relaxation of TDS / TCS will not affect the ultimate tax liability

A taxpayer. Any deficit in tax liability due to a reduced TDS / TCS rate should



Payable through pre-tax payments. Any short-term deposit advance-

Tax draws attention within 234B and 234C. The first instalment of advance-tax



Is due June 15, 2020. A taxpayer will re-calculate his pre-tax liabilities

Deposited every month to stop interest charges.]]>Tue, 26 May 2020 15:05:07 GMThttp://www.imamassociates.com/ca-tareq-imams-blog/may-26th-2020Tue, 26 May 2020 14:59:56 GMThttp://www.imamassociates.com/ca-tareq-imams-blog/covid-emergency-fund​Retailers, small businesses not enrolled as MSMEs are also eligible for emergency loans

Retail businesses devastated by the 62-day lockdown have been declared eligible for the scheme. The Scheme is also applicable for Retail businesses that are not recognised or registered as MSMEs. The emergency credit line facility provides 100 percent guarantee coverage by National Credit Guarantee Trustee Company. The assistance will come in the form of additional working capital through a term loan facility. The guarantee will be up to 20 percent of the borrower's total outstanding credit up to Rs. 25 crore. The Guaranteed Emergency Credit Line (GECL) facility was approved by the Union cabinet on May 22.

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