Multiple initiatives taken by the Government to simplify and facilitate the registration of start-ups, including in small and medium cities
Multiple initiatives taken by the Government to simplify and facilitate the registration of start-ups, including in small and medium cities
The Government of India has undertaken a number of steps to simplify and facilitate the registration of companies including start-ups throughout the country, including in small and medium cities.
Some of the important measures are as under:
The application process for startup recognition under the Startup India initiative has been streamlined and made entirely digital through an interactive Startup India portal and the National Single Window System (NSWS) making the same accessible from any part of the country.
The documentation process for recognition is simplified with self-certification. Recognition handbook and tutorials have also been developed and uploaded on Startup India portal for ease of navigating recognition process.
To promote startup recognition and to handhold entrepreneurs, workshops are held across States/UTs with support of State/UT nodal agencies for startups, and regional stakeholders such as incubators.
The Ministry has introduced several digital initiatives to enhance transparency, efficiency, and quickness in service delivery for reducing compliance burden and enhancing user experience, a few are listed below:
Vide Companies (Amendment) Act, 2017, the requirement of Section 7(1)(c) in respect of furnishing “affidavits” by the first directors and the subscribers at the time of incorporation regarding their not being convicted of offences indicated therein was changed. After the amendment, the first directors and the subscribers are required to furnish a “declaration” in this regard. Simplification through amendment in rules and forms is carried out from time to time on the basis of suggestions of stakeholders.
This information was given by the Minister of State in the Ministry Of Corporate Affairs and Minister Of State in the Ministry of Road, Transport And Highways, Shri Harsh Malhotra in a written reply to a question in Rajya Sabha today.
- A single integrated new web form called SPICe+ along with AGILE PRO-S has been deployed. This form provides eleven services related to ‘starting a business’ namely (i) Name Reservation, (ii) Incorporation, (iii) Permanent Account Number (PAN), (iv) Tax Deduction Account Number (TAN), (v) Director Identification Number (DIN), (vi) Employees’ Provident Fund Organisation (EPFO) Registration, (vii) Employees’ State Insurance Corporation (ESIC) Registration, (viii) Goods and Services Tax (GST) number, (ix) Bank Account Number, (x) Profession Tax Registration (Mumbai, Kolkata and Karnataka), (xi) Delhi Shops and Establishment Registration.
- Zero fee is now charged for incorporation of all companies with authorized capital up to Rs. 15 lakh or with up to 20 members where no share capital is applicable.
- A Central Registration Centre (CRC) has been set up for name reservation and incorporation of companies & Limited Liability Partnership (LLP).
- The LLP Incorporation Form called FiLLiP has also been integrated with Central Board of Direct Taxes (CBDT) to provide PAN/TAN at the time of Incorporation of LLP itself.