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Compliances for Private Limited Company

Tax compliance for Private Limited Companies (PLCs) involves several obligations and requirements.

Here are the key details on PLC firm tax compliance:

Corporate Income Tax Filing:

Private Limited Companies are separate legal entities and are subject to corporate income tax on their profits. They are required to file annual tax returns with the tax authorities, disclosing their income, expenses, and other relevant financial information.

Tax Identification Number (TIN):

PLCs need to obtain a Tax Identification Number (TIN) or Permanent Account Number (PAN) from the tax authorities. This unique identifier is used in all tax-related transactions.

Goods and Services Tax (GST):

PLCs engaged in the supply of goods or services may be required to register for GST, a value-added tax levied on most goods and services transactions. They need to collect GST from customers, file regular GST returns, and remit the collected tax to the government.

Tax Deduction at Source (TDS):

PLCs may be required to deduct TDS on certain payments made to vendors, contractors, or professionals as per the provisions of the Income Tax Act. They must deposit the deducted TDS with the government and file TDS returns.

Advance Tax Payments:

PLCs may be required to pay advance tax if their tax liability exceeds a certain threshold. Advance tax payments are typically made in installments throughout the financial year.

Transfer Pricing Compliance:

If a PLC engages in transactions with related parties, such as its subsidiaries or affiliates, it must comply with transfer pricing regulations to ensure that transactions are conducted at arm's length prices, thereby preventing tax evasion or avoidance.

Tax Audit:

PLCs meeting specified turnover and profit criteria are subject to tax audit requirements under the Income Tax Act. A qualified accountant must conduct the tax audit and submit the audit report along with the tax return.

Accounting Standards Compliance:

PLCs must maintain proper books of accounts as per the prescribed accounting standards. Compliance with accounting standards ensures accurate financial reporting, which is essential for tax purposes.

Compliance with Other Regulatory Authorities:

Apart from tax compliance, PLCs must also comply with various other regulatory requirements, such as those related to corporate governance, labor laws, environmental laws, etc.

Consultation with Tax Professionals:

Given the complexities of tax laws and regulations, it's advisable for PLCs to seek the assistance of tax professionals or chartered accountants to ensure proper tax planning and compliance.

Overall, PLCs must adhere to various tax compliance requirements to fulfill their obligations to the tax authorities and maintain their legal status as corporate entities. Keeping accurate records, staying updated with changes in tax laws, and seeking professional advice when necessary are crucial for smooth tax compliance for PLCs.

Documents required for Compliances for Private Limited Company

Certificate of Incorporation.

Memorandum of Association(MOA).

Article of Association(AOA).

Share Certificate and Board Resolution.

Bank statement (Latest).


Tax Audit.

Share Capital.

Income Tax Returns.

Documentation Assistance.

Comprehensive Guidance.