What is the procedure to open a sole proprietorship firm in India?

Question

What is the procedure to open a sole proprietorship firm in India?

Answer 1

dear, u have not mentioned if why type of sole proprietorship firm you want to open. like it is a service or trading.

I mean service firm like repairs / servicing / courier / transport / internet cafe / data entry / hr consultancy, etc.  here, the VAT registration is not required. but have to register for Service Tax.

And trading as you know like purchase and sell. Here, the VAT registration is required.

so in case of trading, follow as told by Mr. Manjunath.  And things will move easy if you have got a PAN Card and get the registration done in a day or two along with submission of rental deed and an address proof. If no PAN Card, it will go to a week or ten days.

Do not go to a Tax consultant or a broker / Agent as they charge so much amount.  Go directly to Sales Tax office and apply with what ever documents they require. and they may ask some money but not more than 50% what agents / S.T consultants prefer

Answer 2

1. Decide a good attractive name.

2. Get VAT form No. 1, fill in duplicate, affix your photo, attach NOC given by the Building owner.

3. Submit the same to your local VAT Office, which will be decided by your postal PIN code.

4. You will be asked to make some deposit. Take NSC for the amount from the nearest Post Office. Pledge it to the concerned LVO. ( take a photo copy for your file )

5. You will get your VAT registration Certificate, with in an hour, collect it. Display it in your Business premises.

6. Get the Tax Invoice printed, along with your 11 digit TIN number, start doing business. ( first two numbers indicates your State )

7. Keep all books of account up to date and file your monthly returns, on or before 20 th of next month, with out fail.

8. Good luck to your new venture.

Answer 3

thank Mr. Manjunath. it will help so many people. anyways how anybody contact you. pls. tell .... and what are your consultancy Fee (if any)?

Answer 4

nothing much depends which state you are starting your business -  1. VAT registration 2. there are business which needs  government permission .

depends on the nature of business .