INDIA
Law
Companies Act 1956
and Companies
(Amendment) Bill
2003
Income tax Act 1961
Incorporation
Incorporation can be
up to 12 weeks
Off the shelf/ready
made companies are
available
Documents required
for Incorporation
Memorandum of
Association
including company
name, registered
office address,
share capital and
types of shares
Articles of
Association – rules
for the company-
like the UK Table A.
Declaration of
Compliance
Statement of the
situation of the
Registered Office
Directors and
Secretary
particulars
Registrar of
Companies
confirmation of
availability of name
Power of attorney
from a subscriber
Company Name
The company name
must end with
Limited or Public
Limited (Ltd or
Plc).
There are
restrictions on the
use of certain words
or business
descriptions such as
those suggesting a
connection to the
government,
republic, central,
International,
certain emblems or
official seals.
Directors
Private company has
a minimum of two
directors
There is no
residential
requirement
Secretary
For companies that
have a share capital
in excess of IR 20
million, about
£250,000, must have
a company secretary
who is resident who
holds membership of
the Institute of
Company Secretaries
of India.
Share Capital
Private company must
have a minimum of
two shareholders and
a maximum of 50.
There is no
requirement for the
shares to be paid up
Authorised capital
is normally £10,000
(IR 0.1 million)
Meetings
Four Board meetings
are to be annually,
one each quarter.
The meetings can be
held anywhere
An AGM is required
to be held each year
in the registered
office or in the
town where the
registered office is
located
All other meetings
can be held
anywhere, though
will normally be in
India.
Seal
A company seal is
not mandatory
Accounts/Financial
Statements
Annual accounts are
to be prepared,
audited and filed at
the Registry.
Records to be kept
Normally kept at the
Registered Office
Registered
Office/Registered
Agent
A registered office
must be within the
state where the
company is
registered.
Annual return
An annual return is
mandatory
Tax
Corporate tax is
payable on income at
the rate set by
Government each
year, currently some
30%.
Tax year is 1 April-
31 March
Dividedns are taxed
at 12.5% plus a
surcharge of 2.5%
