Can a Foreigner be a Director of the Indian Company

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Can A Foreigner Be A Director Of An Indian Company

Company being an artificial person has to be run, managed and controlled by a real person. These officials who manage a company are called directors and are the head of the company. They are the ones responsible for all the managerial and other official affairs in the company.

In this post, our special focus will be one can an NRI be a Managing Director of an Indian company or can a foreigner be a director of an Indian company.

NRIs and directorship in Indian firms

In India, as per law, a foreign national can become a director in an Indian company whether it is a public or private company provided at least one of the directors in the company is on Indian nationality. Share below are the laws in relationship with Foreign Nationals Director in Indian Company.

Criteria to Become a Director Under Companies Act, 2013

  • Director has to be a major, i.e. above 18 years and has to be a natural person.
  • There is no restriction on becoming a director of an Indian company because of nationality.
  • An NRI or foreign director is eligible to become an executive or non-executive director.

Steps to Follow for Foreign National to Become a Director

We have come up with essential steps for becoming a foreign national to become a director in Indian company:

Director Identification Number

  • Before being appointed as a director, it is mandatory for the foreign national to have a Director Identification Number (DIN).
  • This is allotted by Central Government against the application of allotment of DIN filled by person who intends to become a director under Sec 153.
  • Electronic Form DIR- has to filled and submitted along with fees of Rs.500.
  • Form DIR-3 can be downloaded online and has to be submitted electronically along with a photograph, proof of identity and residence, Form DIR-4, duly verified digital signature.
  • Details of valid passport have also to be submitted in Form DIR-3. The certified copy of the same is also to be attached with DIN application.
  • Digital verification of Form DIR-3 can be done by a practicing CA or CS or Cost Accountant. It can also be verified by CS of the company or MD or director of the company for which applicant is applying for directorship.
  • Once DIN application is submitted online, provisional DIN gets generated automatically.
  • Person is not allowed to use provisional DIN until approved and confirmed by Central Government.
  • The Central Government issues DIN within one month from issuing the receipt of application.
  • In case Central Government finds any defect then the same is communicated using email or putting it on website asking to rectify the errors within 15 days.
  • In case the person doesn’t rectify the defects within 15 days, the application becomes invalid along with provisional DIN.

Foreign National as Independent Director

  • Foreign national must possess experience and knowledge in more than one fields of management, sales, finance, marketing administration, technical operations etc. which are related to the governance of the company.

Foreign National as Managing Director

  • He should be a resident of India. He should be staying in India at a stretch for at least 12 months immediately after date of appointment.
  • He should be between 21 to 70 years of age.
  • He should not have convicted any offence for duration of over 6 months.
  • In case the above mentioned criterion is not fulfilled then approval from Central Government is needed.
 

Format of letterhead as per companies act 2013

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A letterhead is a significant document for a company. Not only it shares details about your company but also represents your business. Though there is no particular legal format of a letterhead but there are legal provisions for letterhead. As per format of letterhead as per Companies Act 2013, here are some of the things which must be included:

  • Company’s Name
  • Company’s registered address
  • Telephone number
  • Email Id
  • Company’s website
  • Corporate Identification Number
  • Fax number

These are the letterhead legal requirements in India. Private Limited Company letterhead in India have to include these heads to create a perfect letterhead for their organization.

Check this : How to write a Letterhead Format

Download the Indian company letterhead sample to create your own. Follow the letterhead format word and PDF to create an impressive letterhead in sync with the legal requirements.

 

How do you Register for CA Articleship

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CA Articleship registration - How to apply

If you are pursuing Chartered Accountant in India then you must know that CA articleship forms a significant part of it as it gives a practical exposure to the industry.

If you wish to become a Chartered Accountant in India and you are all set to register for CA articleship but don’t know how to go about it, we are here to help you.

In this post, we have shared everything that you need to know about articleship registration online, checking articleship registration status and various other things.

Registering for CA Articleship in India

  • The first thing is to find a CA or CA firm which has a vacancy.
  • When you have found one, inform about it to ICAI
  • The next step is to fill CA Articleship Registration Forms- 102 and 103.
  • These forms can be bought from any ICAI’s branch for Rs. 50 or can be downloaded online by sending a DD of Rs.50 to ICAI along with submitting the forms.

Know About Form 102 for Articleship

If you are wondering how to fill form 102 for articleship then here is everything you need to know:

  • Also known as Deed of Articles, this forms the main contract between the principal and yourself.
  • In this contract, you make a promise to serve the Principal with loyalty. Likewise, Principal also promises to instruct you to the best of his knowledge, to give you reasonable chances to work and acquire accountancy skills.
  • In case you or your Principal fail to keep up the obligations as per the contract then it will be considered as breach of contract.

Points to Keep in Mind While Filling Form 102

  • You need stamp paper for articleship registration. Non judicial or special adhesive stamp paper can be used to execute the deed.
  • Duration of deed execution is 3 years.
  • Both the parties have to sign the deed.
  • Original copy of deed lies with the Principal and you keep the duplicate copy.
  • You are not required to send Form 102 to ICAI until and unless there is long gap in registration from date of joining of articleship.

Know About Form 103 for Articleship

  • This is the registration form for articleship.
  • There are two schemes- Direct Entry or Foundation Route and you must mention under which scheme you are having yourself registered.
  • You will need to fill in your details.
  • Your Principal should fill in his or her details.
  • The form has to filled in triplicate copies- one for you, another for principal and third one to be submitted to ICAI within duration of 30 days from commencement of articleship along with other documents.

Click here this link

Documents to be sent along with Form 103

Here are the list of documents to be sent along with the form:

  • Copy of Secondary or Higher School certificate
  • Copy of certificate issued on completion of ICITSS i.e. Integrated Course on Information Technology and Soft Skills
  • Copy of CA intermediate Group I or II or both marksheet

All these copies have to be attested by your Principal.

Some additional documents are also needed:

  • In case of foreign national, attested copy of student visa or study permit from authorities to know duration of CA course.
  • Attested copy of graduation or PG marksheet or intermediate exam statement of ICAIA or ICSI by CA or gazette officer or college principal.
  • CA articleship registration fees to be submitted in form of DD or Banker’s Cheque in name of “Secretary, The Institute of Chartered Accountants of India” payable at Mumbai, Delhi, Chennai, Kolkata as may be the case.
  • In case of any other engagements during articleship, form 112 needs to be filled to seek permission from ICAI for such engagements.

Student Identity Card

  • There is an identity card in Form 103 which also needs to be duly filled by the candidate along with affixing latest passport size photograph on it.
  • Principal and candidate, both must sign at designated places on it.
  • This card is also required to be submitted with Form 103 mandatorily.
  • This card is returned by ICAI along with registration letter.
  • Validity of this ID card is for 3 years.

Registration Fees for Articleship

Articleship Registration Fee is Rs. 2000. This amount is to be paid at the time or articleship registration or to be send with form 103 in form of DD or banker’s cheque

Late Fee for Articleship

Students are required to submit Form 103 along with the above mentioned documents within 30 days of commencement of articleship. But in case they are unable to do so then they have to send a hand written application stating the reason for delay. This is called Condonation of Delay and must be signed by the Principal and also article assistant.

Here is the late fee required to be submitted:

  • 30 days beyond specified time, Rs.100 is the late fee.
  • 31 to 180 days beyond specified time, Rs. 300 is the late fee.
  • Beyond 181 days, Rs. 1000 is the late fee.
 

Cancellation of GST Registration in India – GST Cancellation Online

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Cancellation of GST Registration India - Cancel GST Registration Online

Before GST format came in picture, there were different taxpayers registered under different kinds of indirect tax laws. But now as per the norms of GST, any supplier with a total turnover of above Rs.20 lakh is required to register under GST. Moreover, there are certain kinds of suppliers who have to register themselves under GST no matter what their turnover is. Irrespective of these different norms, suppliers can surrender GST registration by initiating GST cancellation process. To Cancel GST Registration, they need to follow a certain procedure which has been discussed in this post for Cancellation of GST Registration.

Types of Cancellation of GST Registration in India

There are two kinds of Cancellation of GST Registration in the country:

  • Cancellation of GST Registration by the Proper Officer,
  • Cancellation of GST Registration by the registered person.

Reasons to Cancel GST Registration

There has to be a reason behind cancelling GST registration. Here are the reasons under which you can initiate the GST cancellation process in India:

  • In case of discontinuance of the business
  • In case the business no longer needs to be registered under GST
  • In case the business has been sold or transferred to a different entity

How to Activate Cancelled GST Registration

Here is the procedure for Cancellation of GST Registration:

  • Apply for online cancellation of GST on the GST common portal.
  • The application for cancellation should be submitted within a span of 30 days from the date on which the event occurred for cancelling GST registration.
  • Details on stock held on that date, information on credit reversal, payment details and dues will be required.
  • After submission of application for cancellation, it will be reviewed by Proper Officer.
  • If there are no flaws in your application and the officer is satisfied, you will have your GST registration cancelled within 30 days from the date when cancellation was applied.
 

CA Articleship Registration Form | Last Date | Fees | Status Details

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To become a Chartered Accountant, a CA student has to undergo three years of CA Articleship. Out of three year, 2 years of articleship are compulsory to be served by a CA in practice and third year, CA student can either continue with the training or enroll for training under a CA in employment.

This post unveils everything about CA articleship which includes CA articleship registration fees, stamp paper for articleship registration and process of articleship registration online.

CA Articleship Registration Forms – Fees, Status

  • When you register for articleship, CA Articleship registration fees of Rs.2,000 has to be paid but if you have already paid this fee when you registered for IPCC then you don’t need to pay it again.
  • You can pay this fee through DD or banker’s cheque in the name of “Secretary, Institute of Chartered Accountant in India” payable at New Delhi/ Mumbai/ Kanpur/ Chennai/ Kolkatta.
  • Once you have submitted CA Articleship Registration form, they are required to be processed by ICAI and you get a confirmation letter with the Identity Card.
  • Due to increasing number of applicants every year, it might take a few months for process completion.
  • On acceptance of registration, CA student and the CA under whom the student is registered receive the registration letter.

You can check your CA articleship registration status online. You can find your status by requesting your principal for their membership no. and check for the articles registered under him and if you name is there then your CA Articleship registration form is processed and your registration is confirmed.

How Can I Register for CA Articleship?

In order to register for articleship, you have to apply in a firm which offers CA articleship vacancy trainees. By filling CA articleship registration form under a Chartered Accountant, you will be registered and he will be your Principal. ICAI has limit on CAs for having a particular number of articles under them.

Forms for CA Articleship Registration

Download Articleship Form 102 filled Sample

Download Articleship Form 103 filled Sample

When you are registering for CA Articleship, you have to fill two forms- Form 102 and Form 103:

  • You can buy these forms at ICAI’s regional offices or ICAI branch offices against a payment of Rs.50 only.
  • You can also download them online:

For Form 102- https://resource.cdn.icai.org/7543st_f102.pdf

For Form 103: https://resource.cdn.icai.org/9059st_f103.pdf

We have shared these forms for reference purposes. In order to fill these forms, you have to purchase them, fill them and then deposit them to register yourself for the process.

Documents Required in Registration Process

Here are the list of documents that you must keep ready while filling CA Articleship Registration Forms:

  • A DD for registration fees. Include Rs.50 extra if you have downloaded the forms online.
  • Attested copy of IPCC exams marksheet
  • Attested copy of Secondary or Higher School Certificate as DOB proof.
  • Attested copy of completion of Orientation Program and ITT.

What is the Last Date of Registration?

CA Articleship Registration Form 2019 have to be submitted within 30 days calculating from the date when commencement of Articleship to ICAI took place.

We aim to provide answers to all the students who have a question in mind “How to become a CA in India” to make CA registration to CA final registration easier and simpler.