Essential Legal Filings for New and Expanding Businesses in India

Setting up or expanding a business in India involves more than just a great idea—it requires careful attention to regulatory compliance. Understanding and completing the required legal filings is essential to avoid penalties and ensure smooth operations. This guide outlines the critical filings new and growing businesses should know about.

Understanding the Legal Framework

India’s regulatory landscape includes central, state, and sector-specific requirements. Businesses must comply with the Companies Act, Income Tax Act, GST laws, labour regulations, and local municipal guidelines. The type of entity—proprietorship, partnership, LLP, or private limited company—also influences the filings required.

Must-Know Filings for New Companies

When launching a new business, several foundational filings are mandatory:

Incorporation with MCA

For LLPs and companies, registration with the Ministry of Corporate Affairs (MCA) is the first step. It includes obtaining a CIN (Corporate Identification Number) and filing the Memorandum and Articles of Association.

PAN and TAN Registration

All entities must obtain a Permanent Account Number (PAN) and Tax Deduction and Collection Account Number (TAN) for tax purposes.

GST Registration

If your turnover exceeds ₹20 lakh (or ₹10 lakh in special category states), GST registration becomes mandatory. Even below that threshold, voluntary registration can help with input tax credits.

Professional Tax Registration

Applicable in states like Maharashtra and Karnataka, this is mandatory for businesses with salaried employees.

Shops and Establishment License

Required for most businesses operating from a physical location, this license is issued by local municipal authorities.

Filings for Business Expansion

Growing businesses must consider additional compliance steps:

Branch Office Registration

Opening new locations may require additional Shop and Establishment registrations, GST updates, or EPFO branch codes.

Import-Export Code (IEC)

For businesses entering international markets, obtaining an IEC from DGFT is essential.

ESI and EPFO Registrations

Mandatory for businesses crossing employee thresholds (10 for ESI and 20 for EPFO), these filings are crucial for employee welfare.

Director KYC and Annual Filings

Ongoing compliance includes filing DIR-3 KYC for directors and annual returns with the ROC, like AOC-4 and MGT-7.

Common Mistakes to Avoid

• Delaying GST Registration: Waiting until turnover exceeds the threshold may lead to penalties.
• Ignoring State-Level Laws: Each state has different timelines and rules, especially for labour-related filings.
• Non-maintenance of Records: Failing to maintain registers and minutes can lead to legal issues during audits.
• Missing Annual Filings: Many businesses face late fees or disqualification of directors due to missed MCA deadlines.

Final Checklist

✅ Register with MCA (if applicable)
✅ Apply for PAN, TAN, and GST
✅ Obtain local and state licenses
✅ Set up proper accounting and record-keeping
✅ Comply with labour laws (ESI, EPF, PT)
✅ Schedule annual and event-based compliance tasks

Conclusion
Starting and scaling a business in India involves a structured approach to compliance. Staying updated with the latest regulatory changes and filing requirements can save time, money, and legal trouble. If you’re unsure where to begin, consider consulting a professional to streamline the process.