Sole Proprietorships of India have only the smallest legal acquiesced, which are much lesser than those applicable to the private or public limited corporations. It is essentially owing to the fact that a sole proprietorship has no disparate certified entity distinct from its owner or proprietary, and this form of industry existence does not make use of the benefits of limited liability
Partnership companies square measure needed to keep up compliance like LLPs and company registered in our country. Partnership Firm Compliances chiefly includes filing of taxation come back, whereas company entities like LLP and Company need each taxation come back filing with the taxation department and annual come back filing with the ministry of company affairs.
Right from the moment of its incorporation, a startup becomes subject to the different statutory and regulatory compliances. A business registered in India is required to comply with the various annual legal compliances laid down by the corporate laws such as the Companies Act, 2013. Since a majority of startups are registered as companies, annual compliance of a Private Limited Company becomes the most asked issue faced by growing businesses.
All LLPs registered with the Ministry of Corporate Affairs need to file Annual Returns and Statement of Accounts for every Financial Year. It is mandatory for a LLP to file a return irrespective of whether it has done any business. There are three mandatory compliance requirements to be followed by LLPs. Filing of Annual Return , Filing of Statement of the Accounts or Financial Statements
