Running a Sole Proprietorship in India comes with a set of crucial financial and legal responsibilities. Compliance with various tax and regulatory requirements is essential to ensure your business's smooth operation and growth. This includes filing Income Tax Returns, TDS Returns, GST Returns, EPF Returns, maintaining accurate accounting records, and sometimes undergoing a Tax Audit.

Proprietorship

A sole proprietorship in India is the most basic business setup, where a single individual owns and runs the business.

Income Tax Return filing for Proprietorship

In India, when it comes to taxes, proprietorships have the same responsibilities as their owners. A proprietorship is an extension of the owner, meaning the tax process is quite similar to what individuals go through. The income tax rules that apply to individual proprietors also apply to proprietorships.

Proprietorships, much like partnerships and companies, are required to pay taxes based on their earnings.

For tax purposes, proprietors and their businesses are viewed as single entities. The income tax filing process for proprietorships aligns with the tax returns of the Proprietor.

Since a proprietorship isn't considered a distinct legal entity, it has no unique tax identification number. Instead, the Proprietor's Permanent Account Number is used for filing returns on behalf of the proprietorship.

Why Should You Register Your Trademark?

Trademark registration in India protects your rights to use the mark in association with your goods or services. It offers a robust shield against infringement, empowering you to take legal action against unauthorized trademark use. Upon successful trademark or brand name registration, your trademark remains valid for ten years from the filing date, with the option to renew it indefinitely.