Come Republic Day 2018, and setting of businesses is set to get simpler, as the government looks to improve ease of doing business by simplifying and reducing the number of procedures for starting a business.
Come Republic Day 2018, and setting of businesses is set to get simpler, as the government looks to improve ease of doing business by simplifying and reducing the number of procedures for starting a business. “On the occasion of the 69th Republic Day tomorrow, the Ministry of Corporate Affairs (MCA) is launching the Govt Process Re-engineering(GPR) initiatives for making the Incorporation Process Speedy, Smooth, Simple & reducing the number of procedures involved for starting a Business,” Ministry of Corporate Affairs tweeted.
According to its website, the Ministry of Corporate Affairs had taken up a bold initiative in Government Process Re-engineering (GPR) and launched the Simplified Proforma for Incorporating Company Electronically (SPICe) e-Form, on the occasion of Gandhi Jayanti (2nd Oct) 2016. “SPICe is a more versatile form than INC-29 and leverages on digital technology by eliminating the need for hard copies of physically signed documents being attached to an e-form. SPICe is now the Sole, Simplified & Versatile form available for incorporation of a company in India,” the website said.
Among the major steps taken so far, MCA says that the fee for filing the incorporation form has been reduced from Rs.2000/- to Rs.500/-. Further, the ministry has also integrated system with the CBDT for issue of PAN and First TAN (Tax Deduction and Collection Account Number) to a company incorporated using the Simplified Proforma for Incorporating Company Electronically (SPICe). Stakeholders can submit applications for PAN and TAN at the time of submitting applications for incorporation.
“The PAN allotted by Income Tax Department is being affixed on the Certificate of Incorporation of the company w.e.f. 01-Feb-2017. This has resulted in reduction in the number of processes and time taken for Starting a Business in the country,” MCA’s website said.
Earlier, the Ministry of Corporate Affairs had announced Central Registration Centre (CRC) and Government Process Re-engineering (GPR) for ensuring faster clearances to incorporate companies and improve the ease of doing business.
These initiatives were meant for uniformity in application of rules and removing discretion, according to a statement from the Ministry. The GPR involves a three-pronged approach of further automating some of the approval processes by utilising advanced software tools, rationalising and modifying certain rules and engaging professionals to expedite the process of manual scrutiny.