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ESDM & FDI QUERIES
Section III

Queries relating to business compliances

Q. 21 What are other main registrations required by a company or the ROC: BO / PO / LO in India? Ÿ Annual Return
The following registrations need to be obtained: Ÿ Balance Sheet Ÿ Permanent Account Number( PAN) Ÿ Compliance Certificate
Ÿ
Tax Deduction Account Number( TAN)
Other compliances:
Ÿ
Service Tax
( http:// www. mca. gov. in / MCA21 / CARFiling. html).
Ÿ Value Added Tax Board meeting: Quarterly
Ÿ Excise Registration Annual general meeting: Within 180 days of start of financial year
Ÿ Foreign Regional Registration Officer( if required) Annual return with ROC: Within 60 days of holding the AGM
Ÿ Import Export Code( if required) Corporate tax return: September 30 and November 30;
Ÿ Shops and Commercial Establishment Act( if required) Tax audit report: September 30 and November 30;
Q. 22 What are the other auditing and annual reporting requirements to
Transfer pricing report: November 30;
be followed in case of companies & BO / PO / LO operating in India?
TDS returns: Quarterly;
We list the most essential compliances below:
Other reports, submissions, payments like excise, service tax
Accounting: All businesses in India need to maintain
returns etc: monthly
accounting records, which meet the generally-accepted
The filling requirements under the Companies Act can be seen
accounting principles. In India, a business entity is free to
from the following linkchoose
its accounting year. However, under income tax laws, it
( http:// www. mca. gov. in / MCA21 / CARFiling. html)
is mandatory to close books of accounts on a financial year basis from April 1 to March 31 of next year.
The reporting requirements of BO / PO / LO can be seen from the following link-
Employment Payroll: Business is needed to draft appropriate
( http:// www. rbi. org. in / scripts / BS _ CircularIndexDisplay. aspx? Id
employment contracts keeping in view the income tax laws
= 7312)
and employment regulations.
The reporting, auditing requirements of Limited Liability
Tax Audit: LO is not required to do a tax audit. Companies are
Partnerships can be seen from the following FAQ available on
also required to undergo a VAT audit.
the following link-
Annual return on Foreign Liabilities and Assets-Refer to Page
( http:// www. mca. gov. in / LLP / faq _ llp _ basic _ concept. html)
Nos. 103 to 110 of the following link-
( http:// dipp. nic. in / English / Policies / FDI _ Circular _ 01 _ 2013. pdf)
Every company is required to file the following documents with

Comparative summary of entry operations in India:

S. No. Particulars Liaison Office
1.
FAQs on various aspects related to Foreign Direct Investment in ESDM sector
Legal status
Represents the parent company
Project Office / Branch Office
Extension of parent company
Company
Independent legal status
Limited Liability Partnership
Independent legal status
2. Setting up requirements
Prior approval of RBI required
Prior approval of RBI required for BO( other than undertaking manufacturing and service activities in SEZ ' s), Prior approval not required to set up PO if certain conditions are fulfilled
If activities / sector fall under the ambit of the automatic route, no prior approval required but only post-facto filings to be undertaken with the RBI. In other cases, GoI / FIPB approval required and thereafter post-facto filings required to be undertaken with RBI
Foreign investments allowed in sectors, which are under 100 % automatic route with prior GOI / FIPB approval. The sectors should also not be subject to performance linked conditions
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