Is it mandate to file an ITR if you don’t incur any sales?

Not every business begins operating well in their initial years. This may have several reasons, losses being one of them. At this stage, the business owners try to spend as less as possible and hence the question of fulfilling compliances is often unanswered. So, does one need to file an ITR and annual compliance if the company incurs no transactions?

Well, to be precise, yes. There is a simple logic behind the same. in order to prove to the ministry that you did not incur any transactions, it is important to file reports. This is why filing compliance is mandatory for all businesses.

The compliance can be divided into following three parts:

1. Accounts and Audit

Even though there has been no turnover or profits, the book of accounts must always be updated. It includes all the transactions incurred by the company in the particular financial year and consist of rents, salaries, preliminary expenses, preparation of balance sheets and providing the financial position of the company.

Likewise, auditing is mandatory for any company that is incorporated in India. Whether you have incurred any profits or losses, the appointment of auditory is compulsory by law. Pertaining to the same financial statements, ITR and annual compliances are formed.

2. Income Tax Return Filing

Filing an ITR is also important and a compulsory requirement and has nothing to do with taxability of your income. Just like auditing is applicable to all Indian companies, ITR is also a mandate. The last date to file an ITR is 30th September for every financial year and a delay in the same leads to a late fee that can go as high as INR 10,000.

3. Annual Compliance

For any Private Limited Company, an annual compliance follows after yearly audit and annual general meetings. It includes filling up of forms and the members are bound to adopt to financial statements which will be uploaded with MCA in a stipulated time.

in order to avoid hefty penalties and delays for your business, it is better to fulfil compliance in the said time period. Whether your company does zero business or ranges in millions, the list of compliance by government must be fulfilled. There are many CA firms in India who will be helpful to you whether you want audits, file compliance or need help you file the ITR.

If you are looking for a company to file annual compliance for your company , feel free to connect with www.manishanilgupta.com . the team will not just help you in compliance, but also guide you for ROC filling fee in India and NRI taxation in India.

Source:https://www.prlog.org/12776390-is-it-mandate-to-file-an-itr-if-you-dont-incur-any-sales.html

Importance of an Independent Company Audit

What Is Auditing

Auditing is a process of confirming and providing assurance services that the process of recording, collecting and valuing financial transactions adheres to standard of rules and regulations. It helps in finding whether the financial statements of the said company are accurate and free from deceit. 

Why Auditing Is Important 

Discovering frauds or errors

Since a company audit involves a detailed verification of records of accounting, it helps immensely to find frauds and errors and promotes a check on working of employees through which their efficiency can be checked. Not just that, an audit can help in motivating the employees to maintain their efficiency which helps in improving performance. It these audits that help in identifying manipulation of records.

Effective Tool for A Business Management

An audit can prove to be an effective tool for business management since it is conducted to ensure that the policies are being followed and rules are being adhered to. This also paves a way for unique ideas for improvement and to formulate the future policies of an organisation. It is also helpful for the management to review the policies on timely basis.

Gain Confidence in Investors and Shareholders

Investors and shareholders have a high stake in your company, even if they do not get involved in day to day running of your business. Audit is a great way to gain the confidence of these stakeholders.

Since the audited statements are useful enough, the stakeholders can decide whether they want to invest in your company or not.

If you are looking for accounting and audit services in Delhi, then you must evaluate the firm not just on its name but also experience in the relevant industry. Do not forget, an audit is a long term process can often take weeks or months as per the complexity and size of your business operations. After the company has completed audits, they will prepare a report. You can find income tax consultants in Janakpuri to help you with efficient audits. These companies can also help you with many other services like GST return filing in India.

Source:https://www.prlog.org/12775677-importance-of-an-independent-company-audit.html

How Does Chartered Accountant Add Value to Your Business

The finance and tax laws are regularly revised by government in order to address the needs of our dynamic economy as well as commercial issues at both national and international level. It is no surprise that it is impossible for a business to keep a track of these changes which makes the services of accounting firms more and more important. Most CAs are well trained to manage the business finances.

So how does a professional chartered accountant add value to your business regardless of the stage of progress?

Prepare The Right Blueprint

A CA can help you with blueprint of your business plants. Even if you come with immense experience in launching a business, these accountants have a deeper understanding of all financial matters and hence can set right plans. They are well versed with NRI taxation In India and can help you with the complicated process of company registration in India. Of course a good CA does not come cheap, but it should be considered as an investment rather than expense. 

Financial Predictions

While most investors and managers are busy with business expansion and formulation of marketing strategies, a professional CA will ensure that the business accounting and records are well consolidated into the financial prediction of the business for next year.

Tax Returns and Savings

Filing a tax return may be a piece of cake for you as an individual, but doing the same for your business can be extremely complex and time consuming. A CA who is skilled with such issues can ensure you focus on your business and save a lot of amount while filing your tax returns on your behalf.

Budget Assessment

Another vital step in running of a successful business is deciding on the budget for future, whether it is the next quarter or current year. If you get that wrong, you may be burdened with a huge liability to pay off. Hence, a tax accountant is a must for your business as they help you successfully plan the entire budget and ensure that there is no excess.

Besides the above mentioned facts, a CA can do a lot more like helping you with audits and ROC filling fee in India. When looking for a chartered accountant to manage your money, it is important that you take your time and make a wise decision. 

Source:https://www.prlog.org/12775004-how-does-chartered-accountant-add-value-to-your-business.html

All you need to know about services of a Chartered Accountant in India

In a considerably short span of time, India has emerged as a strong financial entity. India is expected to become a financial super power in the coming few decades. This transition has given birth to many new industries being formed, Chartered Accountant services, being one of them.

Indian tax system is known to be one of the most talked about and yet a complicated system in the world which needs expert services of a ca firm in India. 

Here are some services primarily provided by these firms: 

Audit and Assurance Advisory Services

Some of the key services pertaining to audit are statutory audits meant for corporates, internal audits, GST audits and tax audits for different sized firms and individuals. These audits play a vital role in ensuring a healthy financial management system irrespective of the size and operations. Needless to say, the service needs quality expertise.

Management Assurance Services

Considering the growing competition, internal audits is one of the primary factor in order to sustain the steep competition. Hence, a deeper understanding of services like review of internal control and management information system are vital from the strategic point of view.

Corporate Law and Secretarial Services

CA services in India also include special services like investment planning, formation of will and trust, insurance advisory, corporate personal financial planning and investment planning. Most of these firms are happy to offer these services to NRIs too. corporate law services like legal and secretarial services like formation of company to legal matters with government agencies are all taken care of by CA firms in India.

Taxation

Taxes are one of the key aspects for a company and an expert tax consultation form will look into the aspects of income tax assessment, fringe benefits, GST and services taxes.

Many other entrepreneurial services, secretarial and accounting services, NRI services, etc. are some of the services you can avail from a CA firm in India. There is no doubt that these range of services are not just impressive but also extremely beneficial for a corporate client as well as for an individual.