Setup of a Proprietorship In India
A proprietorship is a form of a business which is owned and controlled by one person. It is the easiest to start and comply with.
Proprietorship is the most common form of business chosen by small businesses. It is mostly common in the unorganised sector.
There is no prescribed mechanism for registration of proprietorships. It is created only by registrations under the various tax laws and other business registrations.
We will help you in providing an identity to your proprietorship with various registrations such as GST/VAT, Service Tax etc.
Advantages of Proprietorship
| Easy to Start Since no registrations are required, proprietorships are the easiest to start. However, to establish an identity and for opening a bank account, registrations with applicable tax authorities may be required. |
Taxation A proprietorship does not have to pay any taxes up to an income of Rs. 2.5 lakhs as it is taxed as an individual owning the business. |
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| Business Name Since proprietorship does not require name registration, it can choose to have any name as long as it does not infringe any registered trademark. |
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