Question 1

How long does Private Limited Company registration take?

Accepted Answer

Private Limited incorporation typically takes 7–10 working days once all required documents are verified. The process includes RUN/SPICe+ Part A name reservation, Class 3 Director Digital Signature (DSC) issuance, MOA/AOA drafting, and MCA SPICe+ Part B e-filing. The official digital Certificate of Incorporation (COI) along with corporate PAN & TAN is issued directly by the Registrar of Companies (ROC).

Question 2

What is the minimum capital required to register a Private Limited Company?

Accepted Answer

Under the Companies (Amendment) Act, 2015, there is no minimum paid-up capital requirement to incorporate a Private Limited Company in India. You can start with an authorized capital of ₹1,00,000 and deposit actual paid-up capital (even ₹1,000) into your corporate bank account post-incorporation.

Question 3

Can a residential home address be used as the company registered office?

Accepted Answer

Yes! Under MCA rules, a residential house or apartment in Rajamahendravaram or any Indian city can serve as the official registered office address. You simply need to provide a recent utility bill (electricity bill, water bill, or gas bill under 2 months old) along with a signed No Objection Certificate (NOC) from the property owner.

Question 4

What is the difference between a Private Limited Company and an LLP?

Accepted Answer

A Private Limited Company is governed by the Companies Act 2013, offers limited liability, allows equity fundraising from VCs/Angel investors, and enables ESOP allocations. An LLP (Limited Liability Partnership) under the LLP Act 2008 has lower annual compliance burdens (no mandatory audit unless turnover exceeds ₹40 Lakhs or contribution exceeds ₹25 Lakhs) and is ideal for professional service partnerships.

Question 5

What documents are required for company registration?

Accepted Answer

For each director/shareholder: Self-attested PAN Card, Aadhaar Card, recent bank statement or utility bill (as address proof under 2 months old), passport-size photo, and Aadhaar-linked mobile number for OTP e-KYC. For the registered office: Recent utility bill + signed NOC from property owner.

Question 6

Can an NRI or foreign national become a director in an Indian Private Limited company?

Accepted Answer

Yes. An NRI or foreign national can become a director or shareholder in an Indian company. However, at least one director must be a resident of India (who has stayed in India for not less than 182 days during the financial year). Foreign documents must be apostilled or notarized in the home country.

Question 7

Is GST registration mandatory for all businesses?

Accepted Answer

GST registration under Section 22 of the CGST Act is mandatory if your annual turnover exceeds ₹40 Lakhs for goods (₹20 Lakhs for service providers, ₹10 Lakhs in North-Eastern states). Mandatory GST registration applies regardless of turnover for: inter-state suppliers, e-commerce sellers (Amazon, Flipkart, Swiggy, Zomato), non-resident taxable persons, and taxpayers liable under Reverse Charge Mechanism (RCM).

Question 8

How fast can SRI Filing get my GSTIN allotted?

Accepted Answer

GSTIN is allotted within 3–5 working days following successful Aadhaar OTP e-KYC verification on the GSTN portal. If the tax officer issues a REG-03 clarification notice regarding address proof or principal place of business, our professional team drafts and submits a REG-04 reply within 24 hours.

Question 9

What is the penalty for missing a monthly GST return due date?

Accepted Answer

Under Section 47 of the CGST Act, late filing fees for GSTR-1 and GSTR-3B are ₹50 per day (₹20 per day for NIL returns), capped at maximum statutory limits. Additionally, Section 50 imposes 18% p.a. interest on net cash tax liability. Continuous non-filing for 6+ months leads to GSTIN cancellation.

Question 10

Why is GSTR-2B reconciliation critical for claiming Input Tax Credit (ITC)?

Accepted Answer

Under Section 16(2)(aa) of the CGST Act (effective Jan 2022), taxpayers can claim ITC only on purchase invoices uploaded by their suppliers that auto-populate in Form GSTR-2B. Our professional team runs monthly GSTR-2B vs. Purchase Register matching to prevent invalid ITC claims and statutory demand notices.

Question 11

What is a GST LUT (Letter of Undertaking) and who needs it?

Accepted Answer

Form GST LUT (RFD-11) under Rule 96A allows eligible exporters of goods/services and SEZ suppliers to make zero-rated exports without paying Integrated GST (IGST) upfront. It must be filed online at the start of every financial year on the GSTN portal.

Question 12

What is the GST Composition Scheme and who is eligible?

Accepted Answer

The Composition Scheme under Section 10 of the CGST Act allows small businesses (turnover up to ₹1.5 Crores; ₹75 Lakhs for special category states) to pay tax at a concessional flat rate (1% for manufacturers/traders, 5% for restaurants) and file quarterly CMP-08 returns, without claiming Input Tax Credit.

Question 13

What are the statutory due dates for Income Tax Returns (ITR)?

Accepted Answer

Under Section 139(1) of the Income Tax Act 1961: July 31 for non-audit individuals, HUFs, and salaried taxpayers (ITR-1, 2, 4); October 31 for business entities requiring tax audit under Section 44AB (ITR-3, 5, 6); November 30 for international/specified domestic transfer pricing cases requiring Form 3CEB.

Question 14

What is Section 44ADA Presumptive Taxation for Professionals?

Accepted Answer

Section 44ADA allows specified professionals (consultants, IT experts, legal advisors, doctors, financial advisors, engineers, architects) with gross receipts up to ₹50 Lakhs (₹75 Lakhs for 95%+ digital receipts) to declare 50% as net taxable profit, exempting them from maintaining full accounting books or undergoing tax audit.

Question 15

Does SRI Filing handle quarterly TDS filings and TRACES certificates?

Accepted Answer

Yes. We process Form 24Q (salary TDS), Form 26Q (non-salary payments like rent, contractor fees, professional fees under 194J), and Form 27Q (NRI payments). We also download and generate official TRACES Form 16 & Form 16A certificates and resolve TDS default demand notices.

Question 16

What is the difference between Old vs. New Tax Regime (Section 115BAC)?

Accepted Answer

The New Tax Regime (Section 115BAC) is the default regime offering lower slab rates but removing most deductions (Sec 80C, 80D, HRA). The Old Tax Regime permits claiming exemptions and deductions up to ₹2.5L+. Our professional team runs an automated comparative tax computation to select the regime that saves you maximum tax.

Question 17

What is Form 26AS and AIS (Annual Information Statement)?

Accepted Answer

Form 26AS is your annual consolidated tax statement reflecting TDS deducted, TCS collected, and advance tax paid. AIS (Annual Information Statement) provides a comprehensive view of all financial transactions including stock trades, mutual fund dividends, savings interest, and high-value cash transactions.

Question 18

How long is a registered trademark valid in India?

Accepted Answer

A registered trademark under the Trade Marks Act 1999 is valid for 10 years from the date of application filing. It can be renewed indefinitely for successive 10-year periods by submitting Form TM-R with official renewal fees to the Trade Marks Registry.

Question 19

When can I legally use the ™ and ® symbols on my logo or brand name?

Accepted Answer

You may start using the ™ (unregistered trademark) symbol immediately upon receiving your official Trademark Application Receipt & Number | typically within 24 hours of filing Form TM-A. You may only use the ® (registered trademark) symbol after the IP India Registrar issues the official Registration Certificate.

Question 20

How does MSME Udyam registration lower trademark government filing fees?

Accepted Answer

Holding an active Udyam MSME Certificate reduces official government trademark filing fees by 50% | from ₹9,000 per class for corporate entities down to ₹4,500 per class. SRI Filing assists in procuring your Udyam Certificate prior to TM application.

Question 21

What happens if a Trademark Objection is raised in the Examination Report?

Accepted Answer

If the Registrar issues an Examination Report citing Section 9 (lack of distinctiveness) or Section 11 (similarity to existing marks), SRI Filing's Trademark Advocates draft a comprehensive legal response supported by judicial precedents and submit it within 30 days.

Question 22

What annual ROC filings are mandatory for Private Limited companies?

Accepted Answer

Every Private Limited Company must file Form AOC-4 (Financial Statements, Balance Sheet, P&L, Auditor Report) within 30 days of AGM, and Form MGT-7/MGT-7A (Annual Return) within 60 days of AGM with the Registrar of Companies (ROC).

Question 23

What is the penalty for missing ROC annual filing deadlines?

Accepted Answer

MCA imposes a mandatory statutory additional fee of ₹100 per day per unfiled form without an upper cap. Unfiled annual returns for 3 consecutive years lead to Director Identification Number (DIN) deactivation and disqualification under Section 164(2).

Question 24

What is DIR-3 KYC and who must complete it?

Accepted Answer

DIR-3 KYC is an annual mandatory identity verification for every individual holding an active Director Identification Number (DIN), due by September 30 every year. Failure to file results in DIN deactivation and a ₹5,000 government fee for reactivation.

Question 25

What is Form INC-20A (Commencement of Business)?

Accepted Answer

Form INC-20A is a mandatory declaration filed with MCA within 180 days of company incorporation, confirming that subscribers to the MOA have paid their share capital into the company bank account. Non-filing blocks borrowing powers and company operations.

Question 26

What does SRI Filing's Virtual Professional Bookkeeping Service include?

Accepted Answer

Our virtual professional accounting service includes: monthly invoice posting, bank account reconciliation, monthly Profit & Loss and Balance Sheet generation, GST payable calculation, TDS deduction compliance, vendor payment advice, and audit-ready financial statements.

Question 27

When is a statutory tax audit under Section 44AB mandatory?

Accepted Answer

Tax audit by a practicing tax auditor is mandatory if business turnover exceeds ₹1 Crore (₹10 Crores if cash transactions are under 5%), or if professional gross receipts exceed ₹50 Lakhs (₹75 Lakhs for digital transactions).

Question 28

Do you handle EPF and ESIC registration and monthly filings?

Accepted Answer

Yes! We handle EPF (Employees' Provident Fund) registration (mandatory for 20+ employees) and ESIC (Employees' State Insurance) registration (mandatory for 10+ employees), monthly ECR challan filings, and employee UAN generation.

Question 29

How can MSMEs claim EMD (Earnest Money Deposit) exemption in tenders?

Accepted Answer

Under Rule 170 of General Financial Rules (GFR) 2017, micro and small enterprises (MSMEs) registered on Udyam are 100% exempt from paying EMD in Central Govt and PSU tenders on GeM, CPPP, and state e-procurement portals.

Question 30

What digital signature (DSC) is required for government e-tendering?

Accepted Answer

Government e-procurement portals require a Class 3 Signing & Encryption Combo Digital Signature Certificate (DSC) issued on a FIPS 140-2 crypto USB token. SRI Filing facilitates Class 3 DSC token issuance within 2–3 working days.

Question 31

What is GeM (Government e-Marketplace) seller registration?

Accepted Answer

GeM (gem.gov.in) is the mandatory portal for all Central and State government departments to purchase goods and services. SRI Filing handles complete vendor onboarding, catalogue listing, OEM authorization, and tender bid submissions.

Frequently Asked Questions

Company & LLP Incorporation

GST Registration & Returns

Income Tax & TDS

Trademark & Intellectual Property

ROC & MCA Compliance

Payroll, Bookkeeping & Audit

Government & PSU Tenders

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