Know About Cost of Various Company Registrations
Registration & Licenses

Know About Cost of Various Company Registrations

Cost for GST Registration

All entities, subject to a minimum monetary threshold need to register for GST. While one can register for GST on their own, the complex jargon and regulatory procedure often deter people from doing so. As a first step, you need to check if you are eligible for GST registration. You can get yourself registered even though your business does not cross the requisite monetary threshold, but this means added compliance burden.

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Apart from knowing about the eligibility, one also needs to know about the various types of GST registrations. For instance, GST filings for small taxpayers are different from those mandated for big companies.

Hence, it is always better to engage a professional to register GST and obtain the GSTIN for you. The process does not stop here, as a GST-registered business, you will have to do certain form filings and you would require professional assistance for this as well.

One can register for GST free of cost if done on their own. Online GST registration is available at the online GST portal. If you wish to obtain professional assistance, there are various websites that provide GST registration at a fixed cost. The prices may range from INR 1500-3000 one-time fee.

Cost of Registering TAN & PAN

All persons in charge of deducting or collecting taxes must get a TAN. The TAN must be quoted on all TDS statements as required by Section 203A of the Income Tax Act, 1961.

One can obtain TAN by submitting Form 49B to any TIN Facilitation Centre. TAN applications can be submitted online through the NSDL-TIN website.

The current fee for filing a TAN application is INR 55/- plus applicable GST (the application fees may change from time to time).

PAN is to be obtained by every person carrying on any business or profession whose total sale, turnover, or gross receipts is likely to exceed five lakh rupees in any previous year.

Indian citizens can obtain a PAN by submitting Form 49A. PAN applications can be submitted online through the NSDL website or at any of the NSDL TIN-Facilitation Centres.

The application for allotment of a TAN or PAN must be made in Form No. SPICe-INC-32 if the applicant is a company that has not been registered under the Companies Act, 2013.

Per PAN application, the applicant must pay a cost of INR 93 plus applicable GST. The fee for processing the PAN application is INR 864 (INR 93 application fees and INR 771 dispatch charges)/- if the PAN card is to be delivered outside India. (Plus, GST as applicable)​​.

Also, read How Can We Check Whether A Company Is Registered Or Not?

DIN and its Cost

The Central Government issues a DIN to anyone who wishes to become or is already a director of a company. It is valid for a lifetime. One can apply for DIN by filling out the relevant forms, such as the SPICe Form, DIR-3 Form, and DIR-6 Form, along with supporting documentation.

The forms are submitted electronically. It must be digitally signed before being uploaded to the MCA21 website.

If a DIN application is filed at the time of incorporation, no separate fees have to be submitted to obtain DIN. In the case of an existing company, INR 500 fee is to be paid online.

There are various websites that file DIN applications on one’s behalf at a fixed cost. The prices may range from INR 600-1500 one-time fee.

Franking Charges

Franking is another mechanism that involves the stamping of a document by an authorized franking agent. A franking machine is used to stamp documents, indicating to the payor that the taxes have been duly paid to the government.

Franking fees are usually a small percentage of stamp duty fees, and they are often adjusted only in the stamp duty fees.  The franking procedure in each state has a set minimum amount. Franking charges might range around 0.1 percent of the overall purchase price.

LUT Bond & Its charges

To make exports without paying IGST, all registered taxpayers who export goods or services must submit a Letter of Undertaking (LUT) in the GST RFD-11 form on the GST portal. Before exporting goods or services, a LUT must be filed online. For each new financial year, a new LUT should be filed. GST registered person can only submit a LUT if they have not been prosecuted for tax evasion of more than INR 2.5 crore, or for any other offense under the CGST Act, the IGST Act 2017, or any other law.

Login to the GST Portal and select LUT from the services tab. Choose the financial year for which the LUT is needed. Fill in the details, then save, sign, and file the form. A message of confirmation appears. The GST Portal sends this ARN to the Taxpayer's registered email and mobile phone.  Now one can download the acknowledgment, by clicking the download button.

There are various websites that provide LUT related services at a fixed cost. The prices may range from INR 1500-3000 one-time fee.

What is Notary? & Its charges

A Notary, also known as Notary Public, is a person who is authorized to perform certain legal formalities. This includes the drafting, and validation of contracts, deeds, and other legal documents. A Notary Public's primary role is to serve as an impartial witness while carrying out fraud-prevention activities involving legal documents. This is usually referred to as notarization.

Rule 10 of the Notaries Rules, 1956, mandates the following fee:

  1. Notarization of instruments
    • You need to pay INR 35/- if the value of the instrument does not exceed INR 10,000/-
    • You need to pay INR 75/- if the value ranges between INR 10,000/- and INR 25,000/-
    • You need to pay INR 110/- if the value ranges between between INR 25,000/- and INR 50,000/-
    • INR 150/- if the amount exceeds INR 50,000/-
  2. INR 15/- for verifying, certifying, and attesting the execution of any instrument
  3. INR 15/- for administering/witnessing oaths or to take affidavits from deponents
  4. INR 150/- towards the preparation of documents or instruments to be used outside the country
  5. INR 10/- per page for attesting a document as a true copy

How much does CA charge for company registration?

The ICAI has revised the minimum fees paid for professional assignments completed by CA in Practice. A CA charges INR 35,000/- for incorporation of a Private Limited Company and INR 65,000/- for incorporation of a Public Limited Company in Class A cities such as Delhi, Mumbai, Kolkata, Chennai, etc.

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