As much as it is celebrated, entrepreneurship is by no means easy. Running a business always seems to be easy from the outside, but only an entrepreneur actually knows the amount of hard work that goes into it.
Acquiring customers is never easy, irrespective of how good your product or service is. As an entrepreneur, there are numerous strategies that you have to figure out to build your business. Amidst all of this, it is understandable that you would overlook the tax and compliance part of managing a business. But of course, it goes without saying that you shouldn’t ignore this part of running a business. Hence, here are some tax and compliance tasks that every entrepreneur needs to be aware of.
GST registration and filing
The Goods and Services Tax (GST) is now into force and is applicable to all businesses in India. If you provide a service or sell a good, you are liable to charge GST on it. The GST rates vary from industry to industry. The requirement to file GST returns also depend upon the kind of business you are in. But whatever might be the case, you need to register for GST and file GST returns as per the government deadlines.
Filing business tax returns
You run a business to make a profit, which is the income of your business. You need to file business income tax returns showing the income and pay tax on it as well. Businesses are also required to pay advance tax every quarter. As an entrepreneur, you have to make sure you show the income your business is earning by filing tax returns for the same.
Filing ROC returns
Every company that is registered under the Companies Act 1956 is required to file annual returns to the Registrar of Companies. These ROC returns are basically returns of the company’s account that consist the company’s balance sheet, profit and loss account, annual return and compliance certificate.
Filing TDS returns
When a business makes a payment, it does so after deducting tax on the payment amount. This can be to salaries to employees or fees to consultants or payments made for any work done for the business. TDS is required to be deducted on the payment as per the applicable TDS rates. This deducted TDS has to be deposited with the government and TDS returns have to be filed for the same as well.
Maintaining books of accounts
It is important for a company to maintain books of accounts. Bookkeeping is useful to not only the business-owner but is also a required by the tax department and investors from time to time. You should maintain your accounts by keeping a proper tab on your incomes and expenses.
These are some of the tax and compliance related tasks that every business needs to do. Check out our range of services that will help you fulfill these tasks.