Proprietorship Annual Compliance

Proprietorships of India have only the minimal statutory compliances, which are much lesser than those applicable to the private or public limited companies. It is mainly because of the fact that a proprietorship has a no separate legal entity different from its owner or proprietor, and this form of business entity does not avail the benefits of limited liability. The annual income of the proprietor is considered the annual income of the proprietorship firm. Hence, like other business/service entities which are registered under the Ministry of Corporate Affairs, the sole proprietorship firms are not required to file any annual report or financial statements with the MCA. The main and major statutory compliances to be made by these proprietorship firms are thus tax related periodic and annual compliances. However, some more periodic or annual compliances may also be required for the purposes of business regulation/recognition.

Documents Required for Annual Compliances For Proprietorship:- (All copies of documents should be self-attested by the customer)

1. Invoices of Purchases and Sales during the year

2 .Invoices of expenses incurred during the year

3.Credit Card Statements if Expenses are incurred by Proprietor on behalf of proprietorship business.

4. Bank Statements from 1 April to 31 March for all bank accounts in the name of proprietorship business.

5.Copy of VAT or Service Tax returns file

6. Copy of TDS Challans Deposited

7.Copy of TDS Returns filed. (if any)



GST returns

Finalization of Balance Sheet

Income Tax Return

Tax Audit