Professional Updates

 A Private Limited Company (Pvt Ltd) is the most popular and widely used business entity in India for startups and small to medium enterprises. It offers a perfect blend of limited liability protection and corporate structure, while ensuring ease of operations and investor confidence. ✅ Key Characteristics: Separate Legal Entity – Company has its own legal identity separate from its shareholders and directors. Limited Liability – Shareholders are liable only to the extent of their shareholding. Perpetual Succession – The company continues to exist irrespective of changes in ownership or management. Minimum 2 Directors & Shareholders – Required to start; maximum of 200 members allowed. Minimum capital – Can be started with Rs.100,000 as capital. 📋 Checklist for Incorporation of a Private Limited Company 🔷 Proposed Company Details Proposed Name(s) of the Company (Preferably 2–3 options) Complete Office Address Proof of Address of Registered Offi...

Incorporating a Private Limited Company (Pvt. Ltd.) in India involves several legal and procedural steps as per the Companies Act, 2013 . Below is a step-by-step guide detailing the process, required documents, and key considerations. ✅ 1. Basic Requirements for a Pvt. Ltd. Company Minimum Directors : 2 (at least one must be an Indian resident) Maximum Directors : 15 Minimum Shareholders : 2 Maximum Shareholders : 200 Registered Office Address : Mandatory at the time of incorporation ✅ 2. Digital Signature Certificate (DSC) All directors and subscribers to the Memorandum of Association (MoA) and Articles of Association (AoA) must obtain a DSC . Apply through certifying authorities (e.g., eMudhra, Sify, NSDL) Documents required: PAN card Aadhaar card Passport-sized photo Email and mobile number Time : 1–2 days ✅ 3. Director Identification Number (DIN) DIN can be obtained through the SPICe+ Form (explained later) for new directors. If th...

Overview of the newly issued GST registration guidelines aimed at reducing unnecessary hurdles and ensuring smoother processing 📋 Officer Conduct Instructions Follow document checklist in FORM GST REG-01 only. Do NOT ask for: Original physical documents Additional/unprescribed documents ⏱️ Application Timelines ✅ Not Risky & Aadhaar Authenticated: Within 7 working days ⚠️ Flagged / Aadhaar Not Authenticated: Within 30 days (includes physical verification) 👨‍💼 Principal Chief Commissioners to oversee and review processes regularly. 🏢 Documents for Principal Place of Business Type of Arrangement-->Documents Required Owned--> One valid document (e.g., electricity bill, tax receipt) Rented (Registered Agreement)-->Rent/lease agreement only – no lessor ID needed Rented (Unregistered)-->Rent/lease agreement + lessor’s ID proof Tenant has utility bill on his name-->Acceptable with rent agreement Other’s Property (e.g., Spouse)-->Consent letter + ownership proof + I...

Let us discuss about the key points from the budget presented today. This budget will be effective for the Financial Year 2025-26. Personal Income- tax Reforms with special focus on middle class There is no change in income tax rates under Old regime. There will be no income tax payable upto income of Rs.12 lakh (i.e. average income of Rs.1 lakh per month other than special rate income such as capital gains) under the new regime. This limit will be Rs.12.75 lakh for salaried tax payers, due to standard deduction of Rs. 75,000.   In the new tax regime, the tax rates will be as below. Rebate on income-tax  Resident individual with total income up to Rs.7,00,000 do not pay any tax due to rebate under the new tax regime. It is proposed to increase the rebate for the resident individual under the new regime so that they do not pay tax if their total income is up to Rs.12,00,000. Marginal relief as provided earlier under the new tax regime is also applicable for income marginal...

Understanding the tax implications on sale of equity shares. Taxable Event: When the listed equity shares are sold. Capital Gain: When the sale price is more than purchase price. Capital Gain= Sale Price - Purchase Price - expenses on Sale (brokerage, commission etc) Capital Loss: When the sale price is less than purchase price. Long Term Capital Gain:  Holding Period: Shares are sold after holding them for a period of more than 12 months. Tax Rate: Long term Captial Gains are exempt upto Rs.125,000 per annum (For FY 2024-25) Long Term capital gains will be taxed @12.5% with respect to equity shares sold after 23.07.2024. Long Term capital gains will be taxed @10% with respect to equity shares sold between 01.04.2024 to 22.07.2024. Note : LTCG will be calculated on gains exceeding Rs.125000 only. Short Term Capital Gain:  Holding Period: Shares are sold after holding them for a period of lessthan 12 months. Tax Rate:  Short Term capital gains will be taxed @20% with ...

How to Apply for EPF Withdrawal Online using EPFO portal? Individuals can benefit from the convenience of the withdrawal process of PF online. Prerequisites : 1) Employees should, however, ensure that their contact number used to activate UAN is operational.  2) Besides, KYC verification and linking of the bank account via IFSC code should also be completed for each UAN for the application to proceed. 3) The Universal Account Number (UAN) must be activated, and the mobile number used for activating the UAN should be in working condition. 4)  The  UAN  must be linked with the member’s KYC, such as the Aadhaar card, PAN and bank details with the IFSC code. Online Application Submission To understand how to withdraw PF amount online, follow the steps below- Step 1 : Visit the official portal of EPFO. Step 2:  Use UAN and password to login into the EPF account. Enter the captcha to authenticate the login. Step 3:  Select the ‘Manage’ tab to access available opt...