Corporatization for MSMEs - msme-mentor.in

Corporatization for MSMEsRequirement for Tax Deduction Account Number (TAN)As per section 203A of the Income Tax Act, 1961, every company deducting tax is required to obtain taxdeduction account number (TAN) from the tax department. Application for TAN (Form 49B - annexed in CD asalso available on http://incometaxindia.gov.in) requires following:Designation of the person responsible for making payment of taxRegistered Address of the Company: Complete address along with the PINName and designation of Authorised signatory: The form is required to be signed by the authorisedsignatory under the company sealVAT and Service Tax RegistrationIn case a Proprietorship/ Partnership had obtained registration under VAT and service tax before conversion,the company has to make an application to the Commissioner for fresh registration.Details of Tax Returns to be filed by the CompanyTax Returns Due DatesQuarterly Withholding Statement for Salary July 15 for the first quarter, October 15 for the secondPayments in Form 24Q. quarter, January 15 for the third quarter and June 30for the last quarter.Quarterly Withholding Statement other thanSalary Payments in Form 26Q.Payment of Advance Income andFringe Benefit tax.June 15 for the first quarter, September 15 for thesecond quarter, December 15 for the third quarterand March 15 for the last quarter.Corporate Income Tax and Fringe September 30Benefit tax Return in ITR 6Tax RatesFor Sole Proprietorship, the rates are as applicable to individuals. The tax rates for Partnership andCompany are as prescribed under the Income Tax Act 1961, which presently is 33%. In case of Services,there are variations regarding limits, registration, TDS deduction and so on.In general, tax issues do not substantially influence the decision making process of the entrepreneurs goingfor corporatization.Walk-In Kit25