Any business operating or consisting of a turnover more than a certain amount is liable to pay VAT (Value Added Tax) for the products and services it is buying from other businesses. Similarly it is also supposed to charge VAT for the products and services he is offering to the public and other businesses. This is mandatory for all business (set with a fixed turnover) violation of which may lead to serious legal as well as financial penalties. VAT registration is fundamentally essential for every company. VAT registration is mainly important for the companies operating on a large scale since for any kind of lucrative deal with another big brand would require VAT registration. Rather than handing over the responsibility to your accountant, it would be better if you can ensure yourself to check and process this registration. A general survey shows that 40% of VAT forms get rejected during its initial submission. VAT depends on the goods and services sold or bought. Four categorical rates are followed for VAT. Standard Rate: 17.5%, Reduced Rate: 5%, Zero Rated: 0% and Exempt. Standard VAT is generally applicable on most of the goods and services in the market. Reduced rates are applicable mainly on car seats for kids, petrol, diesel, power, sanitary products for women etc. Some of the zero rated goods are food, clothing, childrenâ€™s books, promotional activities for charities, ship repair etc. It is mandatory to produce VAT invoices to the Customs and Revenue Department for any kind of goods or services sold or bought at a certain price.
LLP or Limited Liability Partnership mainly refers to the partnership where the both (or more) the proprietors have a lesser quantity of liabilities to offer incase of a debt emerging from the present business. LLP registration can be done through several steps: A legal “Deed of Partnership” has to be finalised primarily elaborating the mandatories for each party involved. The deed should contain all the details such as name, address etc. of the parties as well as the roles and rights of each member. It also speaks about the capital to be invested or contributed by each member. Incase any of the members decides to leave the business will have to follow some legal regulations as mentioned in the agreement. For an LLP registration it is mandatory that there are two â€œdesignated partnersâ€ atleast, to fulfil the statutory requirements. Three basic criteria for an LLP formation are to have a registered address; two partners should be there atleast and a legal contract or agreement between them.
NBFC is commonly known as a non-banking financial company. A non-banking financial company is considered as a firm, only if it is registered under the Companies Act 1956 (also known as NBFC registration) and is involved with the transaction of loans, shares, securities, insurances, bonds, chit-funds etc. However these financial institutions are not involved in any kind of agricultural activity, sale or purchase of immovable properties. NBFC resembles the functions of a bank but somehow differs at certain points as for example: they are not enabled to accept the demand deposits; NBFC depositors are not entitled to the DICGC (Deposit Insurance and Credit Guarantee Corporation) facility; any NBFC should be registered with RBI under Section 45-IA RBI, 1934. According to this act an NBFC should be having a fund of Rs. 2 crores at least. There are different types of NBFCs like Hire-Purchase companies, Investment Firms, Equipment Leasing Firms and Loan companies
In most of the organisations today, background check of an employee is a very common matter to happen. Infact background checks can actually reveal a lot of wanted and unwanted information about the employee. He should be well aware that the organisation does not uncover any negative information about him. The background check can range from his PAN number to the history of his associations with different people. Some of your background records are enlisted by the governmental agencies as for example court records, driving records, criminal records, medical records, drug test records, proprietorships etc. FCRA Registration or Fair Credit Reporting Act set some rules for every organisation to check its employee backgrounds. This act limits the organisations to interfere into the personal life of the employee. Infact before an employer conducts any kind of background check; he needs to have an authorisation letter from the employee stating that the check can be conducted.
PAN (Permanent Account Number) is the identity proof of an individual. The Income Tax Department allots this number to a citizen. The PAN card consists of a ten digit alphanumeric number which is there on the card along with the photograph of the individual. PAN registration is required in almost every situation connected to your identity as for example, while applying for loans, VISA, passport etc., paying any kind of tax, for any investment that you make or may be for the financial transactions. Through a PAN registration, the Income tax department can easily keep a track on any kind of unregulated or illegal transactions. There are online tracking systems enabled to track the status of your PAN card. You can follow up online. To apply for PAN registration, you need to fill up an application form called 49A under the Indian Constitution and submit it to your nearest Income Tax PAN Service centre. These centres are established by UTIISL and NSDL in India.