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SuperCA
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  1. This answer was edited.

    Advantage of Sole Proprietorship. The Proprietor will be legally recognized as a Supplier of Goods & Services. The proprietor can claim the Input tax credit (tax paid on the purchase of goods & services). The proprietor can pass on the credit of the taxes paid on the supply of the goodsRead more

    Advantage of Sole Proprietorship.

    • The Proprietor will be legally recognized as a Supplier of Goods & Services.
    • The proprietor can claim the Input tax credit (tax paid on the purchase of goods & services).
    • The proprietor can pass on the credit of the taxes paid on the supply of the goods & services to the purchaser.
    • He can make Interstate sales without restrictions.
    • The proprietor can have a competitive advantage in comparison to other businesses.
    • Small businesses ( having a turnover of less than 1 crore) can opt for a composition scheme to lower their taxes.
    • In GST, the number of compliances is less as it has replaced all other indirect taxes.
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SuperCA
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  1. This totally depends on the business you're in. If the business has a turnover of Rs 40 lakhs or more during a financial year (Rs 10 lakhs for special category North Eastern states), it needs to do GST registration under GST Act.

    This totally depends on the business you’re in. If the business has a turnover of Rs 40 lakhs or more during a financial year (Rs 10 lakhs for special category North Eastern states), it needs to do GST registration under GST Act.

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SuperCA
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  1. If the business has a turnover of Rs 40 lakhs or more during a financial year (Rs 10 lakhs for special category North Eastern states) you should get your business registered under GST. Few Documents such as PAN, Aadhar Card, Address Proof and Bank account details are needed to be uploaded by you onlRead more

    If the business has a turnover of Rs 40 lakhs or more during a financial year (Rs 10 lakhs for special category North Eastern states) you should get your business registered under GST.

    Few Documents such as PAN, Aadhar Card, Address Proof and Bank account details are needed to be uploaded by you online. You’ll get your 15-digit GSTIN (GST identification number) within 4-6 working days and a certificate of registration by the GST department for your Sole proprietorship.

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SuperCA
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  1. The process is a little bit tiresome but it's possible and you can always choose to do so. It is very common for sole proprietors to convert their business into sole partnership and private limited companies after the business starts growing.

    The process is a little bit tiresome but it’s possible and you can always choose to do so. It is very common for sole proprietors to convert their business into sole partnership and private limited companies after the business starts growing.

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SuperCA
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  1. Any person who is wanting to start a business from home or on a premise with a minimum amount can opt for Sole proprietorship business type. It can be started within the time span of 10-15 days.

    Any person who is wanting to start a business from home or on a premise with a minimum amount can opt for Sole proprietorship business type. It can be started within the time span of 10-15 days.

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SuperCA
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  1. In general, It is optional and it does not require any formal registration as such as it is identified through alternate registrations, such as GST registrations, but a sole proprietor must open a bank account in the name of the business. It is not a corporate or legal entity. As per the law, it isRead more

    In general, It is optional and it does not require any formal registration as such as it is identified through alternate registrations, such as GST registrations, but a sole proprietor must open a bank account in the name of the business. It is not a corporate or legal entity. As per the law, it is not mandatory but banks insist on getting sole proprietorship registered if you want to open a bank account in the name of your business.

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SuperCA
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  1. All the proprietors below the age of 60 will be required to file ITR if the total income exceeds Rs. 2.5 lakhs. If the proprietor’s age is between 60 - 80 years, then he should file ITR only if his income exceeds Rs. 3 lakh. Proprietors over the age of 80 years are required to file income tax if theRead more

    All the proprietors below the age of 60 will be required to file ITR if the total income exceeds Rs. 2.5 lakhs. If the proprietor’s age is between 60 – 80 years, then he should file ITR only if his income exceeds Rs. 3 lakh. Proprietors over the age of 80 years are required to file income tax if the income exceeds Rs. 5 lakh.

    If the person is registered under GST, then he/she also needs to file your GST Return.

    Sole Proprietors need to file the ITR-3 form. It can also be filed by the proprietor online by using the digital signature. In sole proprietorships, A sole proprietor should also deduct TDS and file a TDS return if liable for Tax Audit.

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SuperCA
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  1. As far as Sole proprietorship is concerned, it isn't very easy to raise capital to scale the business. Sole proprietors have limited avenues for raising capital such as Investment of own savings, taking out loans to support the business, advances from commercial banks or borrowing from finance compaRead more

    As far as Sole proprietorship is concerned, it isn’t very easy to raise capital to scale the business. Sole proprietors have limited avenues for raising capital such as Investment of own savings, taking out loans to support the business, advances from commercial banks or borrowing from finance companies. There is no way of Raising Equity Capital.

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SuperCA
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  1. A sole proprietorship business does not need any specific registration. However, the owner is advised to get a few essential registrations to make the business function in a better way like registration in Shop and Establishment Act, a GST registration or a Udyog Aadhaar under MSME We know the factRead more

    A sole proprietorship business does not need any specific registration. However, the owner is advised to get a few essential registrations to make the business function in a better way like registration in Shop and Establishment Act, a GST registration or a Udyog Aadhaar under MSME

    We know the fact that registration in this field is not a cup of tea as the information is always scattered across different sites. Super CA is always here to assist you. Our team comprises legal experts, advisors, professional CAs and CSs who are always there with you in every course of action. We guarantee a hassle-free quick & easy process with 100% accuracy in documents at the minimum possible cost.

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