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I have been arranging parties/team building sessions/AHM's and other events for a while now. The problem I face though is that I do not have a bill/invoice that I can provide my clients.
Earlier, I used to work along with event management companies, who used to do the billing. Now after I have branched out, I do not know how to take the billing forward.
I need to know,
1)The procedure for getting a bill book.
2)Do I need to register as a company to get a bill book.
3)How are taxes applicable, if I do/donot register.
Any information would be greatly appriciated.
Regards
Geo.
If yes, you may work as a Proprietor of a company and issue bills /invoices. You will need to register your Proprietorship with the local excise office for service tax purposes and change the tax to your clients. It is also a good idea to have a seperate ' current' account with a good bank.
This service tax you will have to pay the Govt... and fill in the required 'reports' every three months. Check with a CA.
I think there is an exemption for small businessmen who bill below Rs 4,00,000 a year.
Incase you feel the need to register a Private Limited Company, you will have to go through a CA/CS and pay the required fees and submit necessary documents.
BTW , welcome to Webmaster World.
I have a few more queries...
1.Would you know how much will it cost and how long will it take for 'Registering as a proprietorship with the local excise office' (approx).
2.I am a regular employee with a software company in blore, will this in any way affect the tax that i pay for my regular job.
3."If yes, you may work as a Proprietor of a company and issue bills /invoices." - does this mean that i have to name my proprietorship as my name only (Basically.. Is it possible to give a name for my proprietorship).
4.Is it possible for me to make a bill/invoice, without registering?
5.Do you know the service tax applicable for such events
Thanks in advance.
Geo
2.I am a regular employee with a software company in blore, will this in any way affect the tax that i pay for my regular job.
3."If yes, you may work as a Proprietor of a company and issue bills /invoices." - does this mean that i have to name my proprietorship as my name only (Basically.. Is it possible to give a name for my proprietorship).
4.Is it possible for me to make a bill/invoice, without registering?
5.Do you know the service tax applicable for such events "
1. ZERO Charges . You need to get a Service Tax No. from Local Excise office. You will need to fill some forms etc. You need to visit the office to get in contact with the local guy there. It can take anytime from one day to ten days depending upon how quick you are with documents and how cooperative the excise guy is.
2. You need to add the income you generate with this work to your Job income and file a combined Tax return. If you work as a Proprietor, you need to show this as Business income. Check with CA.
3. Yes, you can name your company anything... say Example Examples. However you will not suffix any 'private limited' or 'limited' to the name of the company. It is best to open a current account in a a bank with the new company name to give yourself some standing.
4. Yes, you can invoice, without registering with the Excise authorities, till your billing yearly value stays below RS 4,00,000.
The moment you bill more than this threshold value, you need to register or face the wrath of the excise dept. which is horrible. As long as you donot register, you will NOT add any service tax to the invoice value.
5. You need to check with the excise guys the exact ' category' under which your billable activities will be listed. The service tax is a constant 12.24%.
Reconfirm all with a CA. These are only broad guidelines for yout to work under.
Unfortunately though... the more you answer.. the more I ask :) .. sorry.
""4. Yes, you can invoice, without registering with the Excise authorities, till your billing yearly value stays below RS 4,00,000.
The moment you bill more than this threshold value, you need to register or face the wrath of the excise dept. which is horrible. As long as you donot register, you will NOT add any service tax to the invoice value.""
As of now I am falling well within the < 4L bracket, in terms of business..
So if I understood right.. I can go ahead and print an Invoice/Bill book, and provide that to my clients, without registering.
That is great news to me...
What name can I write on the invoice/bill? (Since I havent registered)
Would you by any chance (im pushing my luck here) have an invoice/bill, of an unregistered.. , to use as a template to create mine.
Geo
Please read the service tax laws on the web by searching on Google.
The proprietory company name can be anything that is not already trademarked. A proprietory company is not really registered... Your individual PAN nos. will suffice in identifying the company as owned by you.
An invoice is standard document. You can get it at any (stationery) shop delaing in documents.
I am not a CA. Cannot give any more specific advise.
Best of Luck..
