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What is Sole Proprietorship?
Ans :- Business carried out by a single person and generally employed in traditional businesses. It is more of a one-man-show which is not scalable beyond a certain point. Furthermore, there is no statute or law governing its registration and functioning.
How will get Registration ?
Ans :- No legal procedure, you need to open a Current Account in the name of the Sole Proprietorship and establish a Trade License.
The Current Account will, by default be opened on the name of the person as mentioned on his/her PAN card and therefore the bill/invoice will be issued on the same name.
If you wish to change the name as mentioned, then please consult this answer.
What is the Advantages of a Sole Proprietorship ?
- Minimal compliance.
- Suitable for small to medium scale businesses.
- No registration required, just a Trade License if applicable and open a Current Account in the name of the Sole Proprietorship.
- Tax friendly as compared to a Pvt. Ltd. and an LLP.
- Greater flexibility and ease of operations.
Sole Proprietorship is optimal for freelancers as it has minimal compliance and more tax benefits as compared to a Private Limited Company/LLP.
However, big corporations sometimes do not prefer working with Sole Proprietors as it projects an impression of a man-show resulting in a lack of credibility. Sole Proprietorship has the drawback of unlimited liability as well.
What will be Taxation for Proprietorship?
Ans :-A Sole Proprietorship is taxed as an individual on the Slab Rates applicable.
What is Turnover limit for GST ?
Ans :-If turnover exceeds 20 lakh then you must get yourself registered. Although, if you are tied-up with an E-Commerce platform, then you must get your registration regardless of your turnover.
How “Dp Accounting & Taxation Services” will help you to get register as Proprietorship?
DP Accounting & Taxation Services help you to get alll required Licences & Certificates in Ahmedabad ,Gujarat.Our Expert Team will always touch with you for your better improvement & Guidelines. Our Fees for registration of Proprietorship will be starting from Rs.999/- onwords.