Annual Compliance Checklist for Startups & Private Limited Company
Sticking to the Compliances that have been put up by the government is very important to adhere to. The Annual Compliance for Startups helps to ensure that
Sticking to the Compliances that have been put up by the government is very important to adhere to. The Annual Compliance for Startups helps to ensure that
Annual Compliance for Startups – A business that operates as a private limited company must adhere to all the variety of regulations set forth by
Annual Compliances for Private Limited Company – A private company is a legal entity with its own identity that must keep its active status by
Construction industry is one of the top industries for the start-ups as in however it is also having one of the highest rates of failure.
LLP (Limited Liability Partnership) is a partnership firm that has all the features just like a ‘company’. It is just like a partnership firm in
Yes a Limited Liability Partnership can be converted in to Private Limited Company, and many businesses started as Limited Liability Partnership gets themselves converted into Private Limited Company. This conversion is done by virtue of section 366 of The Companies Act 2013.
The advantage of conversion can be for raising more funds from market or for more growth in business or this conversion could be to avail the advantage of Lower tax rates in comparison to Limited Liability Partnership. However this conversion needs some requirements to be fulfilled.
Alonika.in is the right option to begin the journey. Get LLP converted in to Private Limited Company by Professionals like Chartered Accountants and Company Secretaries. Just contact us and stay focused towards the dreams of success.
S. No. | Document Required |
---|---|
1. | PAN card &Aadhar card of all Partners |
2. | Passport size photograph of all Partners |
3. | LLP agreement and Incorporation Certificate |
4. | Last Filed ITR of LLP |
5. | Current Financial statement |
6. | NOC from all Creditors |
7. | Approval of all the partners for conversion |
8. | News paper cutting for Advertisement of conversion |
9. | DIN and DSC of all Partners |
10. | Address proof of place of business (Rent deed / Electricity Bill or Registry deed / NOC) |
EASY FUND RAISING: In compare to LLP fund raising is easier for Private Limited Companies and always preferred by investors.
ESOP options: Only a company can offer ESOP to employees, helps in building confidence of employees in the management and allow them to feel like more than just employee thus results in best outputs.
Lower Tax Rate: Income Tax Rate is lower for a company in compare to a LLP.
No, LLP cannot be converted to a Private Limited Company as it is not permissible by the government of India. Both the LLP Act, 2008 and the Companies Act,2013 are silent about the matter and haven\’t done any amendments on the same. However, if you want to expand your business you can register a Private Limited Company with INC-29 which has simplified the process of registration. Ministry of Corporate Affairs has passed a notification on 31st May, 2016 in such notification its allowed conversion of LLP into Company. For such conversion there is need to prepare a list of documents and required to file the same with ROC in forms like URC-1, INC-32, INC-33 and INC-34 etc. While conversion there is need to consider the implications of income Tax provisions also like Capital Gain. In below mentioned article author attempt to cover up the provisions of Companies Act and capital gain implication while conversion from LLP to Company.
Once a Company is incorporated, it will be active and in-existence as long as the annual compliances are met with regularly. In case, annual compliances are not complied with, the Company will become a Dormant Company and maybe struck off from the register after a period of time.
It is a unique 10-digit alphanumeric identification that is issued to each and every taxpayer, may it be Business, Individual, HUF(Hindu Undivided Family), Trusts, Foreign Citizens and more. This PAN number and the card is issued by the Income Tax Department which is of extreme importance as identity form. This card is used by the Income Tax department to keep a check on the transactions that can carry a taxable component. PAN card id required as evidence/proof/identity and even in transactions that is associated with a high value.
A 10 digit alphanumeric number is issued by the Income-tax department which is known as Tax Deduction Account Number or Tax Collection Account Number(TAN). Any person who is responsible for deducting tax at source (TDS) or who are required to collect tax at source (TCS) needs to have a TAN.
Digital Signature Certificates (DSC) is an electronic format of a certificate that represents the physical form of a certificate. These are specific certificates which give you authority to access information or services on the Internet or to sign legal documents. It works as a proof for the identity of a person example of certificates can be like a driving license, passport or any membership certificates. It\’s the same way as the physical documents are signed manually, the electronic documents, like e-forms, are signed by using a Digital Signature Certificate.
Director identification number is the unique number that is issued to existing Director or a Future Director of a Company. It is required to be submitted during the procedure for company registration. And for further if a person wants become director in any existing company it requires DIN before appointing as director of the company.
It is a tax that is demanded on documents. The stamp duty includes majorly the legal documents such as cheques, military commissions, marriage license, receipts and land transactions. When a physical stamp is attached to the document, it is denoted that, the stamp duty had been paid for particular document which was effective legally.
Yes, a chartered accountant is important for a company registration, as it provides general accounting, internal auditing, accounting, outsourcing, income tax advisors, tax planning, etc.
It is a strict No, a government employee cannot run a business or do a part time job and for that matter anything except the designated work in the government.
It is a written document which is signed on behalf of a corporation/company to serve as a legal proof of ownership of shares/stock that the company indicates to have. It is also termed as Stock Certificate.
Every company having a paid-up capital of Rs. 10 crore needs to have a whole time CS official as per the new amendment in the Company Act 2013.
Features | Public Limited Company | Private Limited Company |
---|---|---|
Minimum members | 7 | 2 |
Minimum directors | 3 | 2 |
Maximum members | Unlimited | 200 |
Invitation to public | Yes | No |
Issue of prospectus | Yes | No |
Quorum at AGM | 5 members | 2 members |
Term used at the end of name | Limited | Private limited |
Managerial remuneration | Cannot exceed more than 11% of net profits | No restriction as such |
Statutory meeting (mandatory) | Yes | No |
Sticking to the Compliances that have been put up by the government is very important to adhere to. The Annual Compliance for Startups helps to ensure that
Annual Compliance for Startups – A business that operates as a private limited company must adhere to all the variety of regulations set forth by
Annual Compliances for Private Limited Company – A private company is a legal entity with its own identity that must keep its active status by
Construction industry is one of the top industries for the start-ups as in however it is also having one of the highest rates of failure.
LLP (Limited Liability Partnership) is a partnership firm that has all the features just like a ‘company’. It is just like a partnership firm in