What are the Nidhi Company Registration Requirements?

A Nidhi Company is required to be registered under Section 406 of the Companies Act, 2013 and Companies (Nidhi Companies) Rules, 2014. These entities are quite popular in the southern part of the country. The word Nidhi means Treasure in Hindi. The company is basically formed with the purpose of:-

·         Encouraging the habit of saving amongst the members

·         Receives deposits from its members only and can, in turn, lend only to its memberships.

·         The main objective behind Nidhi Company Registration is to cultivate in its members the spirit of mutual benefit.

Nidhi Companies are Non-Banking Financial Corporations and therefore the Reserve Bank of India is authorised to issue deposit acceptance directives to these companies though the companies are not required to receive a mandatory license from the apex bank. Hence the Nidhi company registration is relatively easy.

What is the Process of Nidhi Company Registration?

a.       The first is to meet the minimum requirement criteria. For Nidhi Company Registration, there needs to be at least 7 members on board with 3 of them designated as Directors of the Company. The start-up equity share capital needs to be minimum INR 5 lakh. The Nidhi Company cannot indulge in chit funds, issue of preference shares, lease finance, hire or purchase finance, provide insurance or securities related business. The word ‘Nidhi Ltd.’ Needs to be added to the name of the company

b.       After obtaining the Digital Signature Certificate and Director Identification Number, application needs to be filed for the name of the company with the Ministry of Corporate Affairs.

c.       Once the name is approved, the Forms along with the required documents need to be submitted to the Ministry for incorporation. Forms SPICE is submitted along with the attachments of INC 9 by all subscribers of the MoA and Form DIR 2 is to be filed by the Directors.

d.       The approved Nidhi Company needs to fulfil certain obligatory requirements within a year of Nidhi Company Registration to validate its existence as a Nidhi.

·         Should have at least 200 members on board

·         Net owned funds need to be minimum 10 lakh rupees.

·         Ratio of net owned funds to deposits cannot be more than 1:20.

Documents required for Nidhi Company Registration in India: The mandatory documents that need to be submitted along with the application are:-

·         Identity proofs of the Directors and the Shareholders

·         Ownership document or the lease agreement of the registered address of the company

·         No objection certificate from the landlord in case of rented place

·         Address proof of the Directors and the Shareholders

·         Photos of the Directors and shareholders

·         PAN card photocopies of the Directors and the shareholders

·         The Digital Signature  Certificate of the authorised persons and Directors

·         Director Identification Number of the directors

·         Memorandum of Association and Articles of Association of the Company

What is the importance of Nidhi Company Registration in India?

 Typically there are three valid reasons for Nidhi company registration.

a.       Nidhi Company Registration gives the entity an individual legal existence. In other words it means that the company can acquire assets in the said name, purchase or sell assets as well as take loan on its name. Legally it can file a case against any other entity; similarly have a case registered against its name too.

b.       Funds are available for mutual benefit and are lent at much lower interest rates compared to other lending institutions in the market.

c.       The other reason for Nidhi Company Registration is the benefit that members get in terms of limited liability which is directly proportional to the value of contribution or investment of the member.  

Source url - http://blogs.montevideo.com.uy/blognoticia_163905_1.html

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Avail 5 Advantages of Copyright Registration

When you run a business then you have to be cautious that every small interest in your company must be protected. Whenever you think of an idea or manufacture a new product or think something different for the betterment of your business then it is important for you to apply for Copyright registration. If you don’t apply copyright then your idea or your design may be replicated or stolen from you. This can take away the profits that you are utilizing or may also take the exclusivity out of your firm. In order to avoid such situations make sure that your copyright registration is done as soon as possible. In this blog, we are going to discuss about the advantages of copyright registration that you need to know before applying to it.

How Copyright Can Help You?

Copyright is a legal right and a type of protection for the intellectual property. It helps to protect your work once you apply for it and make it tangible i.e. in the physical form to avoid plagiarism. For example, we can’t copyright an idea of a story but we can copyright the story written on the paper. Copyright registration ensures that nobody can use your data or work without your consent. And in case if somebody does it then you can take them to court. Have a look at the following points that a copyright owner can do:-

·         Reproduce the work,

·         Distribute your work by sale or may transfer ownership,

·         Create more materials based on the original one,

·         Display the work,

·         You can also transfer these exclusive rights to anyone via contract.

Advantages of Copyright Registration

Let’s look at the benefits that you can avail when you undergo the process of copyright registration: -

·         Legal Notice: - the most important benefit of getting a copyright registration is the legal notice. When you are done with the copyright then your work is legally yours and is safe and if anyone infringes or try to replicate your design or idea then you can cite your registered copyright in a legal document. It will automatically tip the scales in your favor. Without a copyright, you can’t contest such an issue.

·         Public Notice: - Copyrighting your product not only protect your work but also gives you the ownership and spread your name freely in the public domain. It gives face & credibility to your idea or design. It helps to prevent others from taking your ownership and avoid wrong claims that they have invented your work. No one can claim or use your work on his own without your consent once you have copyrighted your work.

·         Seeking Damages: - Plagiarism is not only a threat to your business but also to the status and standing as well. If unfortunately, you end up in a copyright infringement tangle, then you may seek damages from the perpetrators. And this will be possible only when you have correctly registered copyright in your name. Because without it you won’t be able to build your case on it. Therefore you must take the step to avoid any future mishap and apply for Copyright Registration without any further delay.

·         Early Registration: - you might have only a few years remaining to apply for the copyright registration, but you must take advantage of the early registration. This is important because someone else may swoop in and may register something similar to it in their name. After that, you will no longer have the right over your original design or idea, no matter if you are the rightful owner of it. Don’t wait, because it may be too late to restore or go back to the prospects of your organization.

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Get Complete Guide for GST Registration Online – Eligibility Process & Fees

If you are going to start your business related to goods and services then applying for GST Registration is the very first thing that needs your attention. So if you are unclear about the eligibility criteria, online GST registration procedure, fees structure, and anything then this article will be a complete guide for you. Let’s understand its meaning and importance firstly.

GST registration is the process in which we apply for goods and products business registration as a normal taxpayer only when the turnover exceeds the amount of Rs 20 lakhs only. The threshold limit in North Eastern & Hilly States is about Rs 10 lakhs. If you are carrying your business without the registration then you will be considered as the defaulter in the eye of law and you will be liable to pay a heavy penalty. Any business whose turnover exceeds the limit of Rs 20 lakhs are supposed to apply for GST registration. Businesses that are registered under the pre-GST regime such as Excise, Service Tax, VAT, will also be registered under GST.

Businesses that are mandatory to be registered Under GST irrespective of the turnover: -

·         Every business that is already registered under the VAT, Excise, Service Tax, etc.

·         A casual taxable person,

·         Input service distributor,

·         Non-resident taxable payer,

·         If a business is transferred to any other party then the transferee will be responsible for registering his business w.e.f the date of the transfer.

·         A person who supplies via e-commerce aggregator.

What Are The Documents Required For GST Registration?

·         Valid bank account number & details from India,

·         Valid Permanent Account Number(PAN)

·         Valid phone number & email address,

·         Prescribed documents & information on mandatory fields of the registration application,

·         Address of the Place of the business,

How To Hire Expert for GST Registration Procedure?

You may get started with the online GST registration procedure via the Government GST online portal or GST Seva Kendra. We can provide you a step-by-step guide on how to register under the GST. Swarit Advisors is the best consulting firm where experts are 24*7 hr available to help you. You need to contact us through the phone number or the email so that we can approach you.

What is the Fee for the GST Registration?

There is no registration fee for GST, you simply need to log in to the online GST portal and follow the steps required for the GST registration process. In a business gets fail to register under GST then he has to pay the penalty of about 10% of the amount due, subject to a minimum of Rs 10,000. If the tax evasion is intentional then the penalty will be liable to 100% of the due tax amount.

If a business is carried out in a different state then separate registration for each state is required. There is a scheme called GST Composition Scheme, where firms can pay tax as a fixed percentage of their turnover. It is a convenient tax scheme for small and medium enterprises. A dealer who deals only in the intra-state of goods and service of restaurant sector may avail composition scheme, or who don’t supply non-taxable goods or not an e-commerce operator, or pays tax at normal rates, or is not a manufacturer of ice-cream, tobacco or pan masala, etc. The floor rate of tax for the CGST &SGST should not be less than 1%. And the turnover of an enterprise must be upto 1.5 crore Rs, whereas in the case of the North-Eastern States or Himachal Pradesh it should be 75 lakh Rs only.

If you have any queries in your mind or need to hire a professional then you are at the right platform where we provide guidelines to avoid technical issues while applying online for the GST Registration. We are just a call away from you.

Source url - http://swaritadvisors.olanola.com/blog/43930463120/Get-Complete-Guide-for-GST-Registration-Online-Eligibility-Proce

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Know the Process to Get Import Export Code Online

Import export industry plays a vital role in maintaining the economy of the country.It helps in unlocking the paths that goes to international markets. If you want to get into the international market then you must first apply for import export registration.It is a significant fact that acquiring Import Export Code is not only a basic prerequisite for venturing into the global market and import export trade but it is also the best way to have an competitive edge over the market players. Working together globally obviously gives a recognized status in the local market. It enables the small dealers and MSMEs to have an immediate access to grab the global chances of trading.

No wonder if you have an Import Export Code, it will help you to fetch many business opportunities for you at the global interface.Unfortunately, the trade & commerce specialists have recently noticed that the peoples are finding it difficult to apply for the IEC Registration online due to some of the technical glitches such asbrowser errors and disrupted browser settings of DSCs (digital signs), and much more.

What is IEC Code?

Import export code is the fundamental registration which is required by every entity who is handling the trade in the internet market. It is considered as the primary document which is a 10 digit unique number and is issued by the Directorate General of the Foreign Trade. It is a lifetime document which needs not to be renewed annually.

What Are The Documents Required for IEC Registration Online?

If you are planning to apply for IEC Registration then you need following mandatory documents that are required at the time of online procedure.

·        Address proof of the organization,

·        PAN card i.e. Permanent Address Number of the company,

·        Passport size photographs,

·        Copy of cancelled cheque that carry the name of the organization,

For more details, you may also contact our Swarit Advisors in order to get direct assistance from the professionals who are having years of expertise in handling the online legal processes. We are 24/7 hr available at your end.

Know what are the basic features of import export code in our business?

IEC Code is of great importance to those who are having their business related to the import export of goods. There are many benefits that we can easily avail once we apply for online IEC registration but have a look at the following basic features of IEC Code.

1.     Can Do Business of Import Export- As we need passport to travel globally similarly we require the import export code in order to export and import goods from India to another country and vice versa.

2.     No Return Filing is required- There is no need to file the return, and there is no typical procedure to follow the validity of the import export code. Our IEC Code remains valid since it get issued to us.

3.     No Renewal is Required- once we get our IEC registration done, our IEC code gets valid for the lifetime. There is no need of renewability, thus it is deemed as a lifetime asset. 

Source url - http://swaritadvisers.doodlekit.com/blog/entry/4592313/know-the-process-to-get-import-export-code-online

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Renew Your FSSAI License in India with the Help of Experts

A FSSAI certificate is the most important permit which is must for running the food business in India. All the food operators who are eligible such as manufacturers, distributors, transporters, retailers must have a FSSAI License before the initiation of their food business. It is therefore similar to that of renewing your license, all you have to do is to get in touch with the best-skilled professional.

The legitimacy of the FSSAI license extends from 1 to 5 years and it relies upon the number of years which is chosen by the food operator. Similarly, the charge of the authentication of food certificate also increases with the quantity of the years that you have applied for. In accordance with the Food Labeling Requirements, you will be required to apply for the renewal of the food license within 30 days before your license expires.

What Is the Procedure to Renew FSSAI Food License?

The procedure of re establishment of the FSSAI license is hence the same as the procedure of utilization of the FSSAI certificate.

The First step is Filling the Form A/Form B: The Form A or Form B is required to be filled which depends upon the eligibility of the food operator. These are the essential structures which comprise of the business activities that are required to be filled alongside the self-attested declaration. The self-attested declaration must comply with the guidelines of the Food Safety and Standard Act. You will also be required the id proof such as Aadhaar card, voter id, Passport, driving license, and much more.

Complete: After the successful inspection, if they get satisfied with everything that you have presented then you can resume your business without waiting for any other notice.

How to Get the License: The food license reach you before 60 days to you but in case if more than 60 days have been passed and you haven’t received it yet then also you may resume your business until and unless any further notice occurs.

What is the Validity & Renewal of the Registration or Food License?

·         The food registration certificate chosen under these Rules will be legal and existing, except specified for a time of about 1 to 5 years as selected by the Food Business Operator, from the date of issue of food license registration.

·         The renewal of the food license certificate will be made in the Form A or B of Schedule 2, but not later than 30 days preceding the expiry date demonstrated in the license.

·         The Registration or Food License Certificate will be continued on use till the time of renewal has come. After that, you need to apply for its renewal before 30 days.

·         Any renewal request which is filed above the expiry date shall be accompanied by the penalty of Rs. 100 each day delay, as stated under the Regulation 2.1.7 (2).

·         FSSAI Registration or license for which renewal has not been functional under the mentioned regulation 2.1.7 (2) or 2.1.7 (4) will get expired and the food operator shall stop all the food business. The Food Business Operator should apply for the new registration as mentioned in the Regulation 2.1.1 and 2.1.3 in case if he wants to restart his business.

For getting more information regarding food license you may anytime get in touch with our experts at Swarit Advisors where we are 24/7hr available at your end to help you with immediate assistance. Get in touch with us through our phone number or email chat we will feel glad to help you with best possible ways.

Source url - http://swaritadvisers.doodlekit.com/blog/entry/4592235/renew-your-fssai-license-in-india-with-the-help-of-experts

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Reverse charge Mechanism under GST

Under normal routine of work, the GST is collected from the receiver and paid by the supplier to the Government on the goods and services he supplies. Under Reverse Charge Mechanism (RCM) as part of GST, the buyer or the receiver of the goods and services pays the supplier the price of the product/service minus the GST. This tax is then paid to the Government, direct by the receiver.

It is important to note that the tax paid under reverse charge mechanism is eligible for input tax credit which means that the taxpayer who has paid the reverse tax can avail input tax credit pertaining to condition that the goods or the services will be used or is being used for his business.

Which are the scenarios were RCM is applicable?

A.    The Reverse charge mechanism, as per the Sec 9(4) of CGST Act applies in a scenario where the supplier is not part of GST registration in India which means that the supplier is not a registered GST supplier but the buyer has done his GST registration online. Hence, the buyer or the receiver does not pay the supplier instead he pays it direct to the Government. Since the buyer or the registered receiver of the goods and services is paying under reverse charge mechanism, he has to prepare a self-invoice against the purchase. The receiver is liable to pay both the Central GST (CGST) and State GST (SGST) in case of intra-state trade and Integrated GST (IGST) in case of Inter-state trade.  The important point to note here is that the taxpayer who is required to pay tax under RCM has to register compulsorily with GST following all the prescribed GST registration procedure. RCM will apply in either of the following cases mentioned below:-

·         Supply of either a good or a service is being done

·         Supply should be with respect to taxable goods and services

·         The supply has to be done by an unregistered supplier (URD).

·         It is compulsory for the receiver of the goods and services to have done his GST registration online

·         The supply needs to be intra-state supply

B.    It is applicable for all e-commerce operators who supply services. In such case the e-commerce platform needs to collect the tax from its customers rather than the service providers and deposit it with the Government.

C.   The Central Board of Excise and Customs has listed about 10 items in which case the receiver needs to pay GST under RCM. The goods include unpeeled cashew nuts, bidi wrapper leaves, tobacco leaves, silk yarn, raw cotton, lottery supply, used vehicles as well as confiscated goods, waste, scrap and Priority Sector Lending certificate.

GST Act exempts payment of tax under RCM for purchases of Rs. 5000/- or less per day from unregistered suppliers. Hence only for expenses above Rs. 5000/- on a daily basis will the registered receiver need to pay tax under reverse mechanism. The registered tax payer needs to keep a check on his daily expenses and P/L accounts to not fail paying tax under RCM.

RCM does not apply for items like salary and wages; electricity; interest; car fuel and government fees. It applies for items like – audit fees, rent, commission payments, office maintenance, gift expenses, repairs and maintenance, office and vehicle maintenance, legal fees, consultancy fees etc.

Source url - http://swaritadvisors.blog.fc2.com/blog-entry-43.html

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An Overview of Producer Company Registration in India

Under the Companies act, a concept of Producer Company was introduced. Now in this article, we will discuss about the Producer Company and its registration procedure. Producer Company Registration is done with the ministry of corporate affairs under the company’s act of 2013.

Let’s have an overview of a producer company

The producer company is basically defined as “Any person that engages in any activity that is connected with any relatable produce or a primary produce. A produce could be anything that’s been produced. Like the things that are grown, like in farming for example. And so, a producer company is a legal body that is incorporated for having one or all of the following objects:-

·         The production of any goods and then harvesting its growth, and then obtainment and grading the fresh produce. After that pooling and handling of the goods produced and finally selling is done.

·         The producer company is supposed to be dealing with the produce of the company’s active members primarily. Allowing them to be able to carry out any activities by themselves or via other such entities that will be done on behalf of the members of the producer company.

·         The processing of the product includes the preservation and drying of the goods. Sometimes distilling, brewing and venting of liquid product. At times canning and then packaging of the produce, that’s been produced by the company members.

·         It can provide you with the education on assistance principals that will be mutual among the company’s members and others.

·         The producer company renders technical services along with the services of the consultancy and training research and development. Along with other activities for the promotion of the respective interests of their company’s members.

·         The primary produce should be relatable to the activities in the producer company. It could be the generation of power, its transmission and distribution among regions for its use. It could also involve revitalization of the said resources like land and water, then their use and water conservation also through the communication.

·         There should also be the welfare measures taken to facilitate the benefits that can be given to the producer company's members. This will usually be decided by the board.

·         The producer company will have to finance the procurement and then process and involvement in the marketing or any other activities which will include an extension of the credit facilities or any other services involving finances to the producer company’s members.

How to Apply for Producer Company Registration?

For the producer company registration in India, following combination is necessary:

The individuals should be in two or more in number as members and all should be producers. It could also be two or more institutions of production or a combination of ten or more individuals and production institutions.

Source url - http://swaritadvisers.doodlekit.com/blog/entry/4590215/an-overview-of-producer-company-registration-in-india

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What exactly is LLP, its advantages & disadvantages and process of registration?

Limited Liability Partnership is a form of legal entity in which all the partners or some partners have a set of limited liabilities and their responsibilities in the business are limited.

Key Points to Remember:

It is generally run by the partnership and cooperation between the partners for which they need to be very reliable and thus it involves a lot of trust risk.

      Each partner will have their own responsibility and liability and no other partner shall be responsible for the other partner’s liability or mistakes.

      Unlike traditional partnerships where all the partners have equal and unlimited liabilities here everyone has their own limited liability.

      All the partners are the stakeholders; however, they are given direct access to control and monitor the business directly which is not given to stakeholders in the corporation.

      That is why the board of Directors is needed for a corporate company and for Limited Liability Partnership there are no such requirements.

      The taxation policy for an LLP is different from companies and is much simpler and small in comparison to them.

In many countries like India in case of a Limited partnership, there exist at least one partner who has the unlimited liabilities and the other partners may be allowed to the limited liability investor and in return, their role will be passive. Thus in such countries, it’s better to choose an LLP as a form of business in comparison to a limited partnership so that all the partners enjoy an active role in the business. All the LLPs in India are registered under the Limited Liability Partnership Act, 2008.

Benefits of a Limited Liability Partnership:

v  The internal structure of an LLP is less complex and easy to organize in comparison to a company.

v  You can have any number of partners and there is no legal maximum number of partners required for an LLP however, obviously the minimum required number is 2.

v  The fundraising and utilization is completely dependent on the partner’s will and say. However they have to follow the rules of Companies Act 2013.

v  You can save your amount of Dividend Distribution Tax, as you do not have to pay it for LLP while in case of the company it’s compulsory.

v  It’s very useful for professional like the Doctors, Advocates, Chartered Accountant and Engineers to register themselves as LLP.

v  There is no such minimum amount of capital that is required to start an LLP, unlike a company which requires certain fixed minimum funds to be invested.

v  There are no compulsory audits required, unlike companies where regular audits are mandatory.

Disadvantages of a Limited Liability Partnership

v  The LLP cannot raise money or funds from the public.

v  The act of one partner without the consent of another partner may bind the LLP.

How to Register for an LLP?

v  The First step is to get the digital signatures of all the partners.

v  All the partners need to apply for DIN i.e. Director Identification Number which is mandatory to become a partner.

v  Apply for the approval of the name of the LLP.

v  Get the Certificate of Incorporation from Indian Registrar of Companies as it is a proof of registration.

v  Then apply for the PAN (Permanent Account Number) of LLP.

v  File all the related documents of the LLP and also apply for the current bank account which is a mandate.

Source url https://swaritadvisorsindia.wordpress.com/2018/09/19/what-exactly-is-llp-its-advantages-disadvantages-and-process-of-registration/

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