How to proceed with registering business website

I just noticed that the format for my previous post is messed up. How can I edit it to fix the formatting? Sorry for inconvenience in reading my post.

First of all in order to register your company you need to have a registered office. Finalise one location may be near your residential area as your registered office for your comoany. You can take that place for your on lease (rent).

In case of the question regarding the partners, you can show any one of your family member as your partner for this company.
 

Before starting the process of registering your company you and your partner need to have Director's Identofication Number (DIN) as well as Digital Signature Certificate.
 

You can obtain DIN online from "Ministry Of Corporate Affairs" portal (national). The time taken to complete this process is 1 day & fees is Rs. 100.
 

You can also obtain your digital Signature from private agency authorized by Ministry of Corporate Affairs. The time taken to complete this process can be 3 days & fees would be around Rs. 1500
 

After acquiring the two you have to get the name of your company approved by the concerned Registrar Of Companies (RoC), which is done by filling form 1A. Registration has to done at the regional office of the Registrat of Companies, where the registered office is to be located. You can give a maximum of six names and Roc will reply within seven days as to the availability of the names. Once a name is approved, it is valid for a period of six months, within which time Memorandum of Association(MOA) and Articles of Association(AOA) together with miscellaneous documents should be filed. If one is unable to do so, an application may be made for renewal of name by paying additional fees. After obtaining the name approval, it normally takes approximately two to three weeks to incorporate a company depending on where the company is registered.
 

MOA conatins two basic clause as follows :-
(1) Object Clause :- The object clause defines the objectives of the company and has two sections; one for the main objectives and and the second describing the other businesses that you might want to get into a later stage.
(2) Capital Clause :- It determines the extent to which the ownership base of the company can be extended by issuing fresh sahres or other instruments in the future.
 

AOA contains clauses that defines the internal functioning of the company.
Once you form this MOA & AOA you have sent it to the concerned Registrar for Vetting and to mark out objections if any.
 

The last step is to pay the registration fee, which varies on the basis of the company's authorized capital, after which the company gets registered under the companies act, 1956 and gets the certificate of incorporation. The number of days taken to obtain the Certificate of Incorpotaion may exceed upto 20 - 25 days.

Apart fro these you also need to obtain following things :-

(1) PAN :- from an authorized franchise or agent appointed by the National Securities Depository Ltd. (NSDL) or the Unit Trust of India (UTI) Investors Services Ltd., as outsourced by the Income Tax Department (National). Time taken here would be around 7 days and fees can be around Rs. 60 - 70
 

(2) TAN (Tax Account Number) :- for income taxes deducted at source from the Assessing Office in the Mumbai Income Tax Department. Time taken 7 days and fees can be anywher between Rs. 50-60.
 

(3) Register your company under Shops Establishment Act, from local Municipal Authority
 

(4) Register for Value-Added Tax (VAT) at the Commercial Tax Office (State)
 

(5) Register for Profession Tax at the Profession Tax Office (State)
 

(6) Register with Employees’ Provident Fund Organization (National)
 

(7) Register for medical insurance at the regional office of the Employees’ State Insurance Corporation (National)

WOW! That's very good information. Thank you so much Rahul.

Are the above details applicable for sole proprietorship as well? If not, then what do I need? Please let me know.

Thanks again.

No registration is required for a sole proprietorship. You simply have to open a bank account with the name & style you want to work. But if you are liable for state VAT or service tax registration, then you have to obtain VAT and/or service tax registration.

Further, for sole proprietorship, no separate income tax PAN is required. The PAN of the proprietor will be the PAN of the firm and proprietor will have to file income tax return in his personal name.
 

Thank you very much for the reply Rahul.

My bank asked me to get the Certificate of Registration. So is that the only that I would need to get for the sole proprietorship? Additionally, what is the VAT registration? Where can I get it done & how much can it cost me? 

Can any of the registrations be done online without the need to go anywhere to a government office. I visited few offices & they do not respond the way they should. You are asked to wait for long times & it's possible that an officer may ask you to wait when you visit him in morning & not tend to you till he leaves office in the evening. It's that slow trying to get processing done from Govt. offices here. So are there provisions for online filing & is it faster than manual processing (I hope it is)?

I don't think there are any further requirements in case of sole properitorship.

I am not aware that whether as per your state rules are you required to pay VAT or not. I would advise you to consult any tax adviser of your locality. Your Tax advisor can help you clearing a lot of your queries. Also visit the website of your concerned state's income tax department, there you would come to know whether you can apply online or not.

As far as VAT is concerend i would provide you with the basic information which is given below.

VAT or value added tax is a procedure which may take 12 days to get completed and may cost you around Rs. 5000-5200.

You are required to fill Form 101 for obtainig VAT registration. Along with the duly filled form you are required to submit following documents:-
Certified true copy of MOA & AOA
Proof of permanent residential address
Proof of place of business
your recent passport sized photograph
copy of PAN
Copy of income tax assessment orderChallan form 2010 showing payment of registration fees Rs 5000.

You are required to visit the sales-tax office of your concerend region. Go to the registration counter there and submit your documents to the clerk there. You will receive your TIN number i.e. Tax Identification Number there. However you will receive you PAN by Post.
 

Thanks again Rahul for your excellent response. 

I spoke to the Bank employee & he told me that after the Certificate of Registration, I need to get CST & VAT. I understood VAT from your explanation (with little questions, like why is it needed). What exactly is VAT why would I need that?  Do I really need CST & VAT for the sole proprietorship or is the bank asking me to produce those documents to make sure that my business is legit (or something like that)?

Regarding the other details that you mentioned, please follow my responses:

Certified true copy of MOA & AOA

I thought to obtain VAT, I just need to fill out a form. But from your reply, I understand that I need Certified true copy of MOA & AOA. What exactly are these & where can I get them from?

Proof of permanent residential address

I can get this.

Proof of place of business

What kind of proof?

your recent passport sized photograph

I can get this.

copy of PAN

I already have my PAN. So I can get the copy.

Copy of income tax assessment orderChallan form 2010 showing payment of registration fees Rs 5000.

1. What is this income tax assessment orderChallan form 2010? Where can I get it from?

2. Is the Tax Identification Number different from PAN? Do I have to go to the sales tax office for this?

You are much help. Appreciate all your efforts in helping me out.

BTW, may I ask you what state you are from in India (just curious)?

I have shown the information about MOA & AOA in my first post here

Proof of Place of Business:-
Proof of ownership of premises viz. copy of property card, ownership deed, agreement with the builder or any other relevant documents;-

Income tax assessment orderChallan form:-
It is a form which you are required to fill along with submitting Rs 5000.

TIN
It is different from PAN.

What is VAT?
· It is nothing but Sales Tax.
· It is a multi-point sales tax.
· It is collected on value addition only at each stage.
· Tax paid by the dealer is deducted from the tax payable collected at every point of sale and the tax already paid.
 

As i said before you should consult a tax advisor in order to better clarity regarding the same with respect to your business.

BTW i am from Ahmedabad, Gujarat.
 

Hi Rahul,

Thank you so much for all the helpful information you have provided. I appreciate all your efforts & time that you have spent in answering my questions. I will follow your suggestions.

Keep up the good work!