19 April 2010
I am to start a fashion designing business, wherein i will be designing cloths, get them stitched and will sell them to the end user. Now before starting i want to budget the expenses, basically i want to do the feasibility analysis. It is going to be a proprietorship concern. Querries: 1)I want to know the VAT implications on such business from delhi. 2)Min amount of turnover should be Rs. 60 lacs for the business to get the books of accounts audited? What would be the best business structure from the point of view of least tax payment; wether it should be proprietorship, partnership or what? 3)Maintenance of books of accounts is must at any turnover? 4)Formalities for formation of proprietorship..i.e. the name of the concerns is to be registered somewhere or not? Any sales tax no. should be taken? Any shop establishment certificate to be taken? (I will be working from home only).
Waiting for the revert. Thanks in advance Juhi Gupta
21 April 2010
1. IT IS ADVISABLE FOR YOU TO GET YOUR BUSINESS REGD. UNDER DVAT-04 AND CSTACT,1956(IF APPLICABLE UNDER CENTRAL ACT). 2. YES AS PER SEC.44AB OF I. TAX ANDSEC49 OF DVAT -04 3.PROPRIETORSHIP 4YES 5 GET REGD. UNDER VAT, SHOP & ESTABLISHMENT ACT 6.VAT HAS BEEN TAKEN PLACE FOR SALES TAX. 7. YES
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