In late June (June 26th, to be exact), a government department overseeing company registration (the Office of Registrar of Companies) in Delhi hit 5B Industries India Private Limited with a penalty. The reason? The company failed to follow a key rule (Section 10A of the Companies Act, 2013) that requires new businesses to complete specific steps before starting operations. This Company Law Section 10A article explores the details of this case, how the penalty was decided, and the amount they were fined.   What is company law section 10A? Imagine you've just started a new company and secured funding from…

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India is also a land where every single individual tends to be a jobseeker, and hardly a few are job creators. Startup India registration online can also be a game-changer. The idea of setting up a business doesn’t come even in the rarest of dreams, considering it a self-destructive option. The government of India, to end this fearful atmosphere and develop an ecosystem where entrepreneurship, risk, ideas, and profit like words do not raise eyebrows, has introduced concepts such as ease of doing business, Make in India, and StartupIndia. Why Startup India Registration? The general meaning of the word startup…

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The term loan for private limited company is no longer jargon in the finance sector. It is a household word in today's society. Apart from banking companies and NBFCs, other legal entities also provide loans in times of need. These legal entities include cooperative societies, public limited companies, private limited companies, and other body corporates. In this article, we will discuss “Loan for Private Limited Company” through the lens of the Companies Act, 2013. How do I get a loan for a private limited company? The word “loan” is not defined under the Companies Act, 2013. In the absence of…

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(EPF) Employees Provident Fund amount withdrawal, also known as PF (Provident Fund), is a compulsory savings and pension scheme for employees of eligible organizations Employees can fall back into the corpus of this fund after retirement. As per EPF rules, employees have to contribute 12% of their basic salary to this fund every month. The employer transfers the matching amount to the employee’s PF account. Money deposited in EPF account earns interest every year. Employees, how to Withdraw PF amount online? We can withdraw the entire amount accumulated in their EPF upon retirement. However, this article explains how to easily…

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A revised return is an application under Section 139(5) to correct errors or omissions in the original return. Section 139(5) of the Income Tax Return Revised Act allows you to file a revised return if you find an error in your original return. You can also adjust late returns. You may submit a revised return before December 31 of the relevant assessment year or before the end of the assessment, whichever comes first. Here are examples that require you to submit an income tax revised return: Correction of errors: If you find any mistakes or errors in your original revise…

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Implementing the ISO 45001 standard can help your organization demonstrate compliance with health and safety regulations. In some aspects, however, it goes beyond what the law requires, so think carefully about whether to accept it. If your organization already has an ISO program in place or is familiar with other performance standards, you may find it easier to adopt the ISO 45001 standard. However, if your organization is small, which is not a strategic plan appropriately, you can find it difficult to: Explain what the standard requires. Consider the nature of the formal application. What is the ISO 45001 Standard?…

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Generally, the person who earns the income pays income tax. But with the help of a TDS tax deduction scheme at source, the government ensures that taxes are already deducted from your payments. Tax Deducted at Source is income tax minus the amounts paid when people pay those salaries, rent, commission, professional fees, interest, and so on by the persons making such payments. What is the tax deducted at source? TDS stands for Tax Deducted at Source. The recipient of income receives the net amount (after reducing TDS). This recipient will add gross income to his income, and the deduct…

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ISO Certification is governed by the International Organization for Standardization (ISO) and establishes trust and confidence in customers, clients, and other business partners. In today’s international marketplace, ISO certification means an organization’s compliance with global standards of quality, manufacturing, and marketing. What is ISO certificate? An ISO certification company is a certificate that is approved by a third-party body that a company runs according to one of the international standards developed and published by the International Organization for Standardization (ISO).   What are the objectives of ISO certification? The purpose of achieving ISO certification is to encourage standardization improvements in…

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Udyam registration is like Udyog Aadhar, and MSME registration is all one and the same thing. There is no difference between all three terms. One of the business registrations out of the various registrations already available in the market. UR is a government registration, which is one of the government initiatives to support such as small business enterprises. You should also choose Legal Chalo and its team because they help you get registration very easily. Actually, one of the major issues for small businesses is that the credit was not repaid on time therefore their business had to go through a…

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Procedures for preferential issues are as given below: While doing the issue of shares, the procedures for preferential issues are very important to follow. We have to comply with all the rules and regulations provided in the Companies Act, 2013. Articles of association (AOA) authorized the issue and then, Send notice to all the director of the company and then, Conduct a board meeting to approve and then, The list of identified persons to whom the securities are to be allotted and then, To approve the draft offer letter (PAS-4), To approve the notice for conducting the extraordinary general meeting.…

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An income tax return file is an electronic document used to report your annual earnings to the government. File income tax return; it details all your taxable income sources, such as wages, investments, and self-employment income. You'll also report any deductions and credits you qualify for, which can reduce your tax liability. This file allows you to calculate your final tax owed or determine if you're due a refund. Most countries require electronic filing nowadays, making this a secure and convenient way to fulfill your tax obligations.   How to file income tax return online? If we select the wrong…

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Mergers and acquisitions can be complex transactions. The tax benefits in merger can also offer significant tax advantages for businesses. One key benefit is the ability to utilize net operating losses (NOLs) from the acquired company. NOLs represent past business losses that can be used to offset future taxable income. In a merger, the acquiring company can inherit these NOLs. Use them to reduce their overall tax liability for years to come. What are the advantages of tax benefits in mergers? The benefits of tax advantages in mergers translate to: Increased Profits: Reduced tax liabilities directly translate to higher net…

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Having a child is a joyous occasion, but it also comes with important planning considerations. Fortunately, Apply for maternity leave Most workplaces offer maternity leave. Giving new mothers time to recover from childbirth and bond with their newborns. How to Apply for Maternity Leave Applicability: The Apply for Maternity Leave Benefit Act applies to women working in public and private sector organizations. Thus, it applies to all women employed in private companies, government jobs, mines, plantations, and factories. Organizations with 10 or more employees. However, the Maternity Benefit Act does not apply to women working in organizations with less than…

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SEBI orders can have serious consequences for intermediaries. Such as suspension or cancellation of registration, debarment from accessing the securities market, imposition of monetary penalty, etc. Therefore, it is important for intermediaries to know how to appeal against SEBI order and protect their rights and interests. How do I appeal against SEBI order? If you disagree with a SEBI order, you have the right to appeal against the decision. Act Quickly. Choose your route. Gather Evidence. File your appeal. Prepare for hearings. What are the appeal against SEBI order, and why do they matter? The Securities and Exchange Board of…

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A trademark is a word, sign, design, symbol, or combination thereof that identifies a specific product. A trademark registration in India is something that differentiates a product or service from all others of its kind and helps consumers differentiate the goods or services associated with a specific brand. Like Amazon brand registry India.   Process of trademark registration in India:  (1) Trademark Search: For trademark registration in India, the primary purpose of the trademark is to differentiate your goods or services from others, offering consumers a unique identity to associate with your brand, so it should be ensured that your desired…

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ITR stands for Income Tax Return. Every ITR for salaried person with an income of more than Rs. 2,50,000 is required to file there ITR with the Income Tax Authority in Form ITR-1. Eligibility of Filing ITR for salaried person: A salaried employee, for income tax purposes, is a person who receives a salary from an employer for providing services under a contract of employment. Only ITR 1 for salaried employees. The income may include salary, perquisites, allowances, and other benefits. The ITR form for salaried individual employee is liable to pay income tax on the income earned from such employment after…

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The paid up share capital is the part of the total called up amount that is actually paid by the shareholder. It refers to the amount that has been received by the company through the issue of shares to the shareholders. A company cannot issue paid-up capital greater than the authorized capital of the company. However, a company may increase its paid-up capital; it can do so by altering the capital clause of a memorandum. Paid up share capital is the lifeblood a company receives from shareholders. Paid up share capital also represents the total amount of money investors have…

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It's a critical step that transforms interested parties into shareholders with ownership rights within the company. Allotment of shares in company law refers to the formal process by which a company assigns newly issued shares to subscribers. This allotment typically occurs after an initial public offering (IPO) or when a company issues new shares to raise capital. Procedure for the allotment of shares in company law: The procedure for allotment of shares in company law refers to the process of allotting shares to the shareholders who have applied. When a company issues new shares, it invites applications from the public…

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It plays a critical role in the identity of the company. The Procedure for Transfer of shares is done by the shareholders of the company on a regular basis. The Companies Act 2013 lays down the provisions related to the transfer and transmission of shares. What is the procedure for transfer of shares? The procedure for transfer of shares are: Inform the company: The transferors and the transferee shall be required to inform the company of the procedure for transfer of shares. Execute an instrument: Both the transferor and transfree shall be required to execute an instrument in form SH-4…

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Investing in a Small and Medium Enterprise (SME) IPO can be an exciting opportunity, but understanding the application process is crucial. How to apply for SME IPO Ensure you have a Demat account, which acts as your digital vault for holding shares. You can open one with a broker of your choice. Apply for SME IPO Keep an eye out for upcoming SME IPO announcements through financial news websites, broker portals, or the official platforms of BSE SME or NSE Emerge. These announcements will detail the application window, price band, and minimum lot size. Remember, SME IPO apply can be more…

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An Employee Stock Option Scheme is a program that grants employees the right, but not the obligation, to purchase a certain number of company shares at a predetermined price (exercise price) within a specific timeframe (vesting period). It's essentially a chance to own a piece of the company you work for. Procedure for Issuance of the Employee Stock Option Scheme: Design ESOP Scheme: The first step in issuing an employee stock option scheme is to design a comprehensive employee stock option scheme outlining the terms, conditions, and mechanisms for granting stock options to employees. Prepare the notice: Prepare the notices for the…

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  For doing any business in India, you have some business entity either in the form of a sole proprietorship, a private limited company registration, or any other form, but now a days, pvt ltd company registration in India is very popular because we have been listening since our childhood (Jo dikhta hai wo bikta hai) is a very common marketing statement used by Hindi speakers. Its English translation could take many forms: "What is seen is sold," “What you see is what you get.”. Therefore, everybody is talking about the incorporation of a private limited company. Documents for a…

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A company wound up voluntarily or through voluntary liquidation is one of the same things. As per Insolvency and Bankruptcy Code Section 59, together with the Insolvency and Bankruptcy Board of India Regulations, 2017, the device for voluntary liquidation of a corporate entity. The company wound up voluntarily, With the approval of creditors and shareholders of the company, the dissolution of a solvent company can be done. What company wound up voluntarily? The Company Wound up Voluntarily, the voluntary winding up of a company initiated the closure process. Unlike a forced closure, it happens when the company is either healthy (solvent) or…

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Want to raise more money for your company? Increase in authorized share capital allows you to issue new shares and boosts your funding. Verify Rules: Ensure your company's founding documents (articles of association) permit an increase. Board Approval: Directors propose and approve the hike in authorized share capital at a meeting. Shareholder Vote: Shareholders cast their ballots on the proposal at a special meeting. Official Increase: File approved documents with the authorities to officially raise your authorized share capital. How can I increase in authorized share capital procedure? To increase in authorized share capital of the company, we need to…

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A company name change can signify a fresh start or better reflect your brand. Board Approval Directors propose and approve the change company name at a board meeting. Shareholder Vote Shareholders have their say through a special meeting and vote. Government Application File an application with the relevant government authority for approval.   How do I change company name? Sometimes there are lots of reasons why we need to change company name because changing the name of the business is a different topic, which we discuss in our different articles already posted, but in this blog we will discuss the…

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