Proprietorship Firm

A sole proprietorship, also known as the sole trader or simply a proprietorship, is a type of business entity that is owned and run by one natural person and in which there is no legal distinction between the owner and the business.


  • Full ownership and control.
  • Less capital involved.
  • Profits are not to be distributed.
  • Ease of formation.
  • Complete control over all the aspects of the business.
  • Strong Interpersonal relationships with clients, customers, and employees.


  • Owner alone bears the losses.
  • limited availability of funds.
  • Unlimited liability of owner.

GST Registration – Eligibility and Process

GST is the biggest tax reform in India, tremendously improving ease of doing business and increasing the taxpayer base in India by bringing in millions of small businesses in India. By abolishing and subsuming multiple taxes into a single system, tax complexities would be reduced while tax base is increased substantially.

Under the new GST regime, all entities involved in buying or selling goods or providing services or both are required to register for GST. a customer or claim input tax credit of GST paid or could be penalized. Further, registration under GST is mandatory once an entity crosses the minimum threshold turnover of starts a new business that is expected to cross the prescribed turnover.

As per the GST Council, entities in special category states with an annual turnover of Rs.10 lakhs and above would be required to register under GST. All other entities in rest of India would be required to register for GST if annual turnover exceeds Rs.20 lakhs. There are also various other criteria’s, that could make an entity liable for obtaining GST registration – irrespective of annual sales turnover.

Entities required to register for GST as per regulations must file for GST application within 30 days from the date on which the entity became liable for registration under GST.

GateNext is India’s leading business services platform, offering a variety of services such as Income Tax filing, GST return filing, Private Limited Company Registration, Trademark filing and more.

GateNext can help you obtain GST registration in anywhere in India and maintain GST compliance through proprietary GST accounting software.

The average time taken to obtain GST Certificate is about 5 – 10 working days, subject to government processing time and client document submission. Get a free consultation on GST and GST return filing by scheduling an appointment with a GateNext Advisor.

Documents required for GST registration?
  • PAN card.
  • Proof of business registration.
  • Proof of identity.
  • Photographs.
  • Address proof of persons in charge.
  • Business's address proof.
  • Bank account statements.

GST Return


GST Return Filing In India

W.e.f. 1st July, 2017, a new indirect tax system namely “Goods & Service Tax” (GST) is implemented in India replaced with old indirect tax regime mostly having various Central and State level multiple tax such as Service Tax, VAT, Excise etc.

There is very transparent and user friendly online system develop by the govt.

There are many type of return of various type of business class.

GSTR3B – A monthly report towards sale/purchase with discharge of any tax liability.

GSTR1– A detailed report submit separately towards B2B and B2C.

Applicability of Registration

Since the proprietorship is itself not distinguishable from its owner hence there is no registration or approval is required to start a proprietorship business in India. However, Registrations required as per another statute.

Registration under Shops and Establishment Act

This is a state specific requirement, in some states it is mandatory and in some, it is optional, for example in the Delhi NCT it is optional.

Sales Tax (VAT) Registration

This is a tax on sale of goods within the state which is governed by the respective vat act of the state.

Central Sales Tax (CST) Registration

This is a tax on Sale of goods between the states, which is governed by the central sales tax act

Local Municipality Registration

This kinds of registration is mandated by some of the municipalities and applies to the firms operating in the territorial jurisdiction of the municipality.

Service Tax Registration

This is a tax on the services provided by the proprietor apart from the negative list of service.

Other Need Based Registration

Import -Export Code (IEC), Trade Mark Registration, Provident Fund Registration (PF), Employee State Insurance Corporation (ESIC) Registration, Excise, Customs, SSI etc.