FAQ's for Proprietors, Companies, LLP and Partnership

When do I require a bookkeeper?
Theoretically you would require a bookkeeper as soon as you begin your business. Practically, however, when you first start out you may find basic accountin...
Fri, 14 Sep, 2018 at 5:40 PM
Why should you maintain proper Books of Accounts?
Income Tax Law makes a mandatory requirement for businesses and professionals to maintain books of accounts as per Section 44AA and Rule 6F. A) A person ca...
Fri, 5 Oct, 2018 at 4:38 PM
What is the difference between a book-keeping service and an accountant?
A bookkeeper prepares a complete record of your business income and expenses for the financial year. On the other hand, an accountant takes the bookkeeping ...
Mon, 17 Sep, 2018 at 11:13 AM
Can I show my receipts to my accountant at the end of the year?
Keeping a complete record of your income and expenses throughout the year results in an accurate book keeping, so it is advisable to make regular records of ...
Mon, 17 Sep, 2018 at 12:05 PM
How many business transactions or journal entries do I have?
Broadly speaking, a single transaction will be considered a single entry. However, certain anomalies may occur, for e.g. where in-depth inventory managemen...
Mon, 17 Sep, 2018 at 11:19 AM
What all things need to be maintained in the book of accounts?
Proper books of accounts consist of Journal, a Ledger book, a Trial Balance, Cash Book, Profit and Loss A/c, Balance Sheet and Cash Flow Statements.
Mon, 17 Sep, 2018 at 11:16 AM
When does a LLP qualify to pay taxes?
LLPs have a separate legal identity from that of its partner like a company. As LLPs are a separate legal entity, an LLP must file income tax returns each y...
Mon, 17 Sep, 2018 at 11:52 AM
When does a company qualify to pay taxes?
Corporate (Companies) tax in India is levied on both domestic as well as foreign companies. As all individuals earning income are required to pay a tax on t...
Tue, 18 Sep, 2018 at 11:03 AM
When does an LLP have to conduct a tax audit?
LLP having an annual turnover of more than Rs.40 lakhs or capital contribution of Rs.25 lakhs are required to be audited. Books of accounts must be mandatori...
Mon, 17 Sep, 2018 at 11:53 AM
When does a partnership have to conduct a tax audit?
Partnership firms involved in profession with gross receipts of more than Rs.50 lakhs must complete a tax audit. Partnership firm involved in doing business...
Mon, 17 Sep, 2018 at 12:03 PM