Is current account mandatory?

Absolutely not. If you are sole proprietor having a current account is not compulsory infact it is unnecessary.

What is requirement for current account?

Current Account Document To open a current account, KYC documents like identity proof and address proof are required along with business proof. Documents considered valid for Identity Proof are PAN Card, Aadhaar Card, Passport, Voter’s ID Card, Driving License, Ration Card.

Is current account taxable?

As we mentioned earlier that a Current Account is a zero-interest account, there is no tax on Current Account. A direct tax for individuals is income tax. The Government prescribes the rate at which the income should be taxed.

Who needs a current account?

Unlike savings accounts that cater to individuals who want to save money, current accounts are mainly used to service the needs of the businesses. Also, current accounts provide higher number of transactions limits on monthly cash deposit / withdrawal (within city or outside city) compared to savings account.

Who needs current account?

Such accounts can be opened with public or private sector banks. Current accounts is ideal for carrying out day-to-day business transactions. The main objective of this account is to enable the account holder to run his business smoothly as there is no limit on number of transactions or cash withdrawal.

Can Sole Proprietor open current account?

The Reserve Bank of India has laid out Know Your Customer (KYC) norms for opening of the current account in the name of a sole proprietorship and all Banks have the procedure to open sole proprietorship current account in the business name.

Who is not responsible for GST registration?

As per the said section the following are the persons not liable for registration under GST: Person engaged exclusively in supplying goods or services or both not liable to tax. Person engaged exclusively in supplying goods or services or both exempt from tax.

Is GST mandatory for opening a cuurent account?

No, GST is not mandatory for Opening Cuurent Account. Although Bank Account details (can be saving or current) are mandatory for getting GST registration.

Is compulsory registration required for casual taxable person under GST?

As per section 24 of CGST Act 2017, a casual taxable person is required to obtain compulsory registration irrespective of the aggregate turnover in the previous year. However exemption has been given to person engaged in the supply of “Handicraft goods”.

When is GST registration required for suppliers?

As per the section 24 of CGST Act 2017 there are certain cases when GST registration is required to be taken by the supplier of goods or services or both. In this section supplier has to get itself registered irrespective of the fact that it has aggregate turnover of 20 lakhs (10 lakhs in case of special category of states) or above.

How long does it take to get a GST number?

As a result, businesses requiring GST number were required to wait until their accounts get opened. It was resulting in a delay of around 3 to 7 days in obtaining the GST Number. Recently, the requirement of bank account details a t the time of GST Registration has been removed by the government to promote ease of doing business in India.