Government licenses required to start project management consultancy company
kalpesh kini
(Querist) 27 September 2010
This query is : Resolved
I am starting a new private ltd. company scope of our work will be project management consultancy do we need to have any licenses of govt.authorities to do business in India.
R.Ramachandran
(Expert) 27 September 2010
Normally one does not require any licence from govt. authorities to start a business of the kind mentioned by you, in India.
Having said that, you would be required to:
(1) get registration from Registrar of Companies.
(2) You also have to obtain Director Identification Number (DIN);
(3) Since you would be providing consultancy service, depending upon your threshold limit of value of the service, you would be required to get registration with the Service Tax authorities for the purpose of payment of service tax.
(4) You also require a Permanent Account Number (PAN) for the private limited company, from the income tax department.
Sri Vijayan.A
(Expert) 28 September 2010
1.Yes, There is no need for License or permit of any type from any governmental department to start project management consultancy work.
2. If the project and its execution require any licence, consent, permit, approval, you may have to obtain it. But not for its consultancy.
3. As Mr.R.R said, the consultancy is a taxable service. So it attracts service tax.
4. Also please check whether the service is taxable if it is offered by an individual, bcoz, I have doubt that there is an exception for the same
sanjeev kumar goel
(Expert) 28 September 2010
Mr. Kalpesh Kini, my friends Mr. R. Ramchandran & Mr. Vijayan have rightly answered your querry. There is no need to take any type of license from government except you have to get your company registered from Registrar of Company of the State where you are going to form the company and as your work is of consultancy so if you cross the thresh hold limit of Service Tax, Rs. 10 Lac, you are required to get your company registered with service tax authorities of your area. when you will cross the consultancy receipts of Rs. 9 Lacs, then you have to apply for service tax registration. PAN of company & Digital signatures of directors of company etc are general formalities.
If the project requires any permission or license from gov. then it will be obtained by your client and not by you.
Ayub S. Pathan
(Expert) 28 September 2010
factually it's a mixed question of fact and law.you though at liberty to do any business.
may not require any license but considering other prevailing laws that may govern your business may require license ,pl. consult your lawyer.
