Hi
LLC registration is not required. You can work as a sole proprietorship also.
Apart from GST, income tax shall apply as usual.
Import duties shall also be applicable. Make sure how import duty arrangements are made.
The website products are imported from China and Sold in INDIA and US we are just the frontend for the customers 1. For selling in INDIA , im getting the company registration(LLC) done in INDIA only and the GST , is it sufficient to run the business from INDIA ? 2. Is there any other tax to be paid for indian govt , please update
Hi
LLC registration is not required. You can work as a sole proprietorship also.
Apart from GST, income tax shall apply as usual.
Import duties shall also be applicable. Make sure how import duty arrangements are made.
I think that should be sufficient. You may not need the LLC.
In terms of taxes, it would be GST and your personal Income Tax which will be applicable.
HI,
In India, to proceed with imports and trade, following are the steps and provisions to be taken care of:
1. Registration of Company under ROC- Apart from registration, annual filings shall also be due.
2. Direct Tax- Income tax shall be payable by the company annually on the income earned by the business.
3. Indirect Tax- GST registration and filings.
4. Import Export Code.
Thanks & Regards,
Damini
1. No, it may not be sufficient as if you are having a setup in India you may need to get registered under Shop and Commercial Establishment Act of the concerned state. Further, if you are going to have more than 10 employees then PF & ESI Registration will be required.
2. You will need to pay Income Tax also on the profits earned.
Apart from GST, income tax and co.registration, you need to obtain IEC for import. We may assist you in getting Import and Export code.
Since it is dropshipping model whereby you will never received the goods which shall be directly shipped by the China supplier, you do not require an IEC. Also, since it is an online buiness, you also don't require shop registration.
Under drop shipping, customer will place an order to you on your website and you then places an order with the supplier resulting into supply of the product by the supplier directly to the customer. Supplier will bill the invoice to you but goods will be shipped to the customer directly because customer had already paid you.
On the invoice, supplier will be China and bill will be raised against you and ship to the customer therefore you will be deemed as importer and required IEC.
Yes .further if you wish you can run business in capacity of sole properioter also.As registering as company will cost you more.
Apart from GST, income tax will also be payable on your income .
In case if physical movement of goods are involved ,then custom duties and procedure are to be taken care of.
Whether you are doing online or offline business, if the no. of employees employed by you exceeds more than 20, you are mandatory to obtain PF registration.