For global businesses accurate tax compliance is very essential. Everyone who earns or gets an income in India is subject to income tax.Every taxpayer is taxed differently under the Indian Income Tax laws. People's incomes are grouped into blocks called tax brackets or tax slabs.And each tax slab has a different tax rate.
Book Keeping is systematic recording and classification of financial data of an organization in orderly manner. It is a key component in forming the financial statements of the organization at the end of the financial year. With proper bookkeeping, companies are able to track all information on its books to make key operating, investing an financing decisions.
GST is a comprehensive, multi-stage, destination-based tax that is levied on every value addition. It is a single tax on the supply of goods and services, right from the manufacturer to the consumer.The final consumer bears only the GST charged by the last dealer in the supply chain, with set-off benefits at all the previous stages. There are three components of GST are CGST ,SGST & IGST.
Payroll compliance or statutory compliance in India refers to the legal framework which companies or organizations must adhere with regard to the treatment of their workers or employees. Every employer is required to comply with the laws applicable in relation to the employees hired in their organization.
According to The Companies Act there are certain compliances that are to be filed by any company.These are the regular filings that are needed to be submitted on an annual basis.ROC stands for Registrar of Companies which is an office under the Indian Ministry of corporate affairs that deal with the administration of the Companies Act, 2013. Compliance act as an asset for the business and to avoid confusion company is required to maintain a register to fill in all the statutory change.Noncompliance can lead to penalties and other legal issues pertaining to the Company. All the financial records should be maintained carefully in order to file accurate annual returns.
The concept of transfer pricing refers to determination of prices of goods, services and intangible transactions between associated enterprises that belong to the same business group.In other words, transfer pricing is the price which is paid for goods or services transferred from one unit of an organization to its other units situated in different countries.It is important that a business having cross-border intercompany transactions should understand transfer pricing concept.Transfer prices would affect not just the reported profits of every center, but would also affect the allocation of a company’s resources (Cost incurred by one centre will be considered as the resources utilized by them).
In India , foreign direct investment policy is regulated under the Foreign Exchange Management Act , 2000 governed by the Reserve Bank of India.Under FDI ,overseas money ,either by an individual or entity , is invested in an Indian Company.Therefore it is the investment through capital instruments by a person resident outside India (a) in an unlisted Indian company; or (b) in 10 percent or more of the post issue paid-up equity capital on a fully diluted basis of a listed Indian company.Under the automatic route ,the non-resident investor or the Indian company does not require any approval from Government of India for the investment.Reserve bank of India Route ( RBI Route) - where principal business of the foreign entity falls under sectors where 100% (FDI) is permissible under the automatic route.